Increased activity in the outsourcing industry over the last 12 months has been driven by the need for specialized support by the rising number of businesses looking to integrate automation and artificial intelligence into their everyday operations, according to a report by the Information Services Group (ISG), a Connecticut-based technology research and advisory firm. Overall, the report highlighted that many of the new contracts signed in the business process outsourcing (BPO) and information technology outsourcing (ITO) sectors related to strong demand for AI, automated systems and data analytics.
It also showed that, on average, nearly 10 outsourcing deals were signed every day in the first six months of this year, a step up even on the stellar figures recorded for 2018, when contract volume rose in the BPO segment and reached a new all-time high for ITO-related services. Putting the report in due perspective, Paul Reynolds, ISG’s chief research officer, said enterprises are increasingly interested in analytics as a means of better understanding and better meeting the needs of their customers and are, thus, looking for specialized support as they accelerate the introduction of transformational technologies. This trend, he said, had created clear opportunities for service providers with data science skills and specialized offerings, as well as the ability to strategize and scale disparate tools and platforms.