Intelligent Automation in Business Processes (IABP) Market Grew 65% Pre-COVID-19, Remains One of the Most Potent Levers for Digital Transformation--Everest Group
Accenture, Tata Consultancy Services and Wipro command nearly 40% of the global IABP market by deployments.
DALLAS, Aug. 12, 2020 /PRNewswire-PRWeb/ -- One of the most potent levers enabling digital transformation today is Intelligent Automation in Business Processes (IABP), which encompasses solutions that use a combination of Robotic Process Automation (RPA), Artificial Intelligence (AI), and advanced analytics to improve business processes. According to Everest Group, the IABP market, which grew 65% in 2019, will endure muted growth in 2020 due to COVID-19 but experience a strong resurgence when global economies emerge out of the pandemic crisis.
"While the current COVID-19 crisis has certainly tempered on-ground business activity and consequently IABP deals, the period after recovery is likely to witness accelerated demand," said Anil Vijayan, vice president at Everest Group. "Clearly, enterprises who were further ahead in their digital journeys are doing considerably better than their peers in weathering the pandemic. This realization is likely to lead to a frenetic pace of transformation and consequently IABP activity post-COVID-19."
IABP growth is driven primarily by a desire to reduce costs. Other key drivers include improving operational efficiency and accuracy, governance and compliance. Increasingly, IABP is also being used to enhance customer experience by enabling shorter response time for handling requests, round-the-clock availability, and reduced need to manually bridge gaps in technology (for instance, through repeated data entry). When done well and even at a small scale, IABP can also lead to top-line growth through the ability to serve new groups of customers and through enabling the building of new products.
In its recently published report, "Intelligent Automation Business Processes (IABP) – State of the Market Report 2020," Everest Group analyzes the dynamics of the IABP space and examines 24 providers, consulting firms and specialist system integrators who comprise the IABP supplier ecosystem. On Everest Group's PEAK Matrix®, IABP solution providers Accenture, Capgemini, Cognizant, IBM, TCS and Wipro are identified as Leaders, based on their ability to deliver solutions and their impact in the market.
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Market Highlights
- There is tremendous potential for IABP, given the penetration as well as the scale of deployment of IABP is relatively low today. Barely a fifth of IABP deployments have an AI component; the majority are RPA-only deployments. However, scaling up adoption is still a key challenge.
- Intelligent automation adoption is highest among large enterprises as they have more avenues to deploy these solutions and gain efficiency and cost benefits. They are also more willing to spend on intelligent automation as compared with small and mid-sized enterprises.
- Adoption of IABP is the highest in North America, followed by Continental Europe, the UK and Asia Pacific.
- Finance and accounting (F&A), procurement, and contact center emerged as the leading areas for IABP application, followed by healthcare, banking and insurance business process services segments.
- Industry-specific use cases, especially in regulated industries such as Banking, Financial Services and Insurance (BFSI) and healthcare, see the highest IABP adoption, followed closely by F&A.
Everest Group predicts that, while there will be secular uptick in IABP adoption, BFSI, healthcare and pharma industries will drive a big chunk of growth in the IABP market, due to increased pressure in these industries to meet high levels of accuracy, speed and regulatory compliance, thus rendering IABP an attractive solution.
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About Everest Group
Everest Group is a consulting and research firm focused on strategic IT, business services, engineering services, and sourcing. Our clients include leading global enterprises, service providers, and investors. Through our research-informed insights and deep experience, we guide clients in their journeys to achieve heightened operational and financial performance, accelerated value delivery, and high-impact business outcomes. Details and in-depth content are available at http://www.everestgrp.com/.
SOURCE Everest Group
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