“Outsourcing” is the norm for several industries today since it is a great way to cut down costs and enhance productivity as companies can focus on their core business activities. From data entry to HR services, the leading outsourcing companies everywhere in the world make it easy to outsource. However, choosing the right BPO company can be a key decision indeed and that’s where we help you.
Today, CMC Global will help you with some insights about these leading outsourcing companies.
First, following the research made by Deloitte, there are a few reasons why companies outsource.
- 59% of companies outsource to reduce or control costs.
- 57% do it to focus on business objectives.
- 47% to solve capacity issues.
- 31% to improve service quality
- 28% to take help from talented professionals
- 17% to manage their business environment
Leading Outsourcing Companies in the global BPO market
As you can see, the 2018 statistic shows all global leading vendors in business process outsourcing (BPO) by revenue. That year, Automatic Data Processing (ADP) was the market leader with under $13 billion dollars in revenue.
Among that, the Top 10 Outsourced IT Functions are:
- Application development: service provider takes responsibility for developing new or enhancing existing applications such as web, mobile, etc.
- Application maintenance and support: service provider takes over the job of maintaining the existing applications
- Data center operations: service provider helps clients operate the data center (they can be totally in charge of the job or do it with the help of the in-house team)
- Database administration: service provider monitors and tunes databases
- Desktop support: service providers get to pay for installation, maintenance, or support of PCs
- Disaster recovery: service provider takes charge of off-site data storage, recovery data centers, redundant systems or networks that are used in case a disaster happens
- Help-desk outsourcing: service provider deals with any type of phone/electronic response to serve the end-user and solve any customer incidents
- IT security: service provider takes over security-related functions, from security assessments, penetration testing, to managed security services, and etc.
- Network operations: service provider is responsible for data network operations and monitoring
- Web hosting and operations: service provider hosts, operates, or maintains a corporate website/application/ e-commerce platform
One year later, in 2019, the customer service segment grew to over 31.0% due to the extensive and widespread establishment of call centers across the world, as well as the increasing requirement of technical and maintenance staff across various sectors, for instance: IT, telecommunications, and healthcare.
In 2019, North America was the area that accounted for the largest share of the global business process outsourcing market and was expected to maintain its substantial growth over the forecast period. The market is fragmented in nature and characterized by large and medium size tech outsourcing companies, with the major global players including Accenture, Infosys Limited, Wipro, and HCL.
Leading companies in the outsourced customer experience market
In 2018, Teleperformance was the leading provider in the customer experience market all over the globe with almost $5 billion U.S. in revenue.
Generally, the global outsourced CX market by service channel is segmented into the following:
- Voice/ call center
- Social media
- Chat/ web services
- Face-to-face/ stores
- SMS/ mobile
- Other…
The charted market in 2018 was dominated by voice/call center channels, followed by social media, chat/web services, face-to-face/stores, SMS/mobile, and e-mail.
At a larger scale, the global outsourced customer experience (CX) market is expected to reach $81.5 billion in 2023 growing at a CAGR of 3.51% during the period spanning 2019-2023. This predicted market growth was driven by numerous factors such as increasing smartphone users, international tourist arrival, the big data revolution, and the rising millennial as well as Gen Z population.
At the same time, the market also has to face certain challenges such as time zone differences, language barriers as well as the lack of information provided to outsourcing companies. The trends that are expected to help solve these shortcomings are the rise in the internet of things (IoT), the growing internet-using population, and the expansion in the language services market.
Revenue of Teleperformance in 2018 and 2019, by business segment
In region-related respect, the global outsourced CX market can be segmented by region into North America, EMEA, Asia Pacific, and LATAM. In 2018, the whole market was dominated by North America, followed by EMEA, Asia Pacific, and LATAM.
In the long term, the North American market is predicted to secure its throne in 2023 as of various factors such as good infrastructure facilities and rising demands for outsourced CX services from the banking, retail, and telecom sectors.
Insights into the world’s best Outsourcing Companies
Tata Consultancy Services
Revenue of Tata Consultancy Services Limited worldwide from 2007 to 2020 (Indian rupees)
For the fiscal year ending on March 31, 2020, the Indian outsourcing company Tata Consultancy Services Limited generated almost 1.57 trillion Indian rupees (approximately $20 billion dollars).
You can see that Banking, financial services, and insurances are Tata’s best domains as they made up 38.9 percent of Tata Consultancy Services’ revenue in 3 years consecutively. The other 4 industry domains have shared quite similar patterns and values.
Accenture
Revenue of Accenture plc worldwide from 2009 to 2020
In 2020, the Dublin-based consulting company names Accenture generated approximately $44.3 billion dollars in revenue, a little up from 43.2 billion the previous year despite the global pandemic’s severe impacts on business sectors and countries.
Revenue of Accenture plc worldwide from 2010 to 2020, by business line
With its fame and credibility, in 2020, Accenture generated approximately $24.23 billion dollars from its consulting services.
Fidelity National Information Services (FIS)
As you can see, FIS earned $5.9 billion from its Banking Solutions segment alone. The other segments’ revenue can be seen in this chart of Revenue generated by Fidelity National Information Services (FIS) from 2015 to 2018, by segment.
Revenue of Kelly Services worldwide from 2007 to 2019
The net income of Kelly Services from 2007 to 2019 is mostly stable for over a decade, except for the 2009 and 2010. In 2019, the company earned a net income of $112.4 million. Being the reputable personnel firm it is, Kelly Services’ main offering services include temporary staffing services, outsourcing, vendor on-site and full-time placement.
Leading Outsourcing Companies Conclusion
Now, Business Process Outsourcing is still a time-tested strategy to see if it’s the right option for companies to minimize costs and boost revenues, despite the sizes. Despite the questions it has to face everywhere, outsourcing business processes are proven to effectively improve productivity levels in core business focus as well as usher greater innovation levels for teams.
Read our list of Top IT outsourcing companies and Top cutting-cost destination for IT Outsourcing.
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