Top Trends Influencing the Outsourcing Industry in 2017
October 24, 2016
Outsourcing has revolutionized the way businesses operate today, evolving with time, to match industry developments. With the race to deliver the most affordable and efficient services, outsourcing strategy is evolving rapidly with the changing business dynamics. This has allowed companies to outsource technical support and other processes affordably, to reliable partners.
However, 2017 will see further development and innovation in this segment with trends specifically related to cloud technology, social responsibility, and data security. This article will walk you through the trends that will influence the industry in the coming year.
- Data Security Becomes Top Priority: Development of new technologies has raised the level of security concerns, while IoT prevalence further intensifies the risks. Thus, 2017 is expected to observe the emergence of Security-as-a-Service, offered by specialized security BPO service providers. Enterprises and outsourcing agencies will strive to protect the data, irrespective of its size and location.
- Demand for Higher Efficiency: The outsourcing industry is inclining towards offering more efficient services by automating processes. The next focus will be on increasing automation and scalability with an emphasis on the development of reusable platforms to deliver efficient tech support for IoT.
- Robotic Process Automation: RPA is on its way to increase the ease and efficiency of business processes. The automation will ensure increased productivity at reduced costs through a quality process execution, using software robots to replace humans for repetitive tasks. However, a rise in this trend will create a challenge of managing touch points between manual and automated tasks, leading to more flexible agreements between vendors and clients.
- Buyer-Oriented Contracts: From fixed vendor-specific terms, the trend is changing with contracts to be formed as per buyers’ needs. Businesses will now be able to get contracts framed with favorable legal & commercial conditions, and a chance to scale up/down as per their needs.
- Integrated Cloud Platforms: Cloud technology is set to become the next trendsetter for the outsourcing market, with more businesses moving to cloud this year. This will enable outsourcing companies to deliver improved and innovative services, and tackle future big data needs, for increased agility & efficiency of business processes.
- Socially Responsible (or Impact) Outsourcing: A new social responsibility based model for business process delivery is expected to gain traction in 2016. The focus of this model is to deliver quality services at low costs and employee attrition, employing socioeconomically disadvantaged workers at BPO centers. Everest Group estimates current employment under impact outsourcing at 2,40,000 and expected to grow this year, with companies working towards social responsibility and diversity goals.
Edited by Stefania Viscusi