News

 

Tuesday 29 August 2017

*NEW RESEARCH* – UK BPS Market Size and Forecasts 2017

lGrowth in the UK Business process services (BPS) market is slowing considerably due to the deflationary impacts of Intelligent Automation, Digital and the resulting re-shoring, insourcing, and hybrid as-as-a-service models.

Brexit adds to the uncertainty we are now seeing across the UK BPS market, and it is having a negative impact on both public and private sector outsourcing spend.

We expect BPS to grow at a compound annual rate (CAGR) of 3.2% between 2016 and 2020 to be worth £9.9b. However this is still ahead of other horizontal areas within the UK SITS market (see UK SITS Market Trends & Forecasts 2017-2020).

Traditional ‘lift-and-shift’ BPO is now very much a legacy model, in terminal decline. It used to dominate the BPS market. We now expect it to decline -4.1% over the period, and continue that downward trend thereafter.

Against this providers are going to have to look to new sources of revenue opportunity to rebuild and regrow.

Data, intelligence and analytical insights will be critical here, as will platforms and Business Process-as -a-Service (BPaaS) utilities that can manage and operate disparate systems and processes flexibly. People will also play a vital role, however they will become far more like overseers and managers of processes, relaying intelligence back and forth, and supplying answers to the toughest questions.

Subscribers to BusinessProcessViews can read our latest anchor report providing detailed analysis of the trends and opportunities in UK BPS Market Trends & Forecasts 2017.

Posted by John O'Brien at '09:24' - Tagged: market+trends   bps