The statistic shows the market size of the global BPO industry in fourth quarter of 2017. During this quarter, the revenue generated from the Supply chain management services (SCM) segment amounted at some *** million U.S. dollars, globally.

Contrary to many other sectors in the service industry, the total value of the global business process outsourcing (BPO) market has been consistently trending down from a peak contract value of **** billion U.S. dollars in 2012 to ** billion U.S. dollars in 2019. Business process outsourcingBusiness process outsourcing is where a third party is contracted to assume operational responsibility for a specific business process. Included are many different business processes, with human resources, finance and accounting, and supply chain management being the most common. IT outsourcing is generally considered separate to BPO, however sometimes it is considered a BPO service. Explanation for the declining in BPOOne important reason for the overall decline in the BPO market is the increasing capacity for business processes to be automated. In a 2017 study it was predicted that, due to automation, over the decade up to 2026, the BPO market will shrink by **** billion U.S. dollars. Automation also helps explain why the downward trend applies to all regions, despite the potential cost savings available through offshoring business processes to cheaper labor markets.

This statistic shows the global market size of outsourced services from 2000 to 2019. In 2019, the global outsourcing market amounted to **** billion U.S. dollars. The global outsourcing market - additional information The revenue of the global outsourced services industry has been unsteady over the last few years. In 2016, the industry market size dropped to **** billion U.S. dollars, the lowest figure seen in a decade. The largest share of revenue for this industry came from the Americas, followed by Europe, the Middle East and Africa. A much smaller share of global revenue came from the Asia Pacific region. Outsourcing involves the contracting out of business processes to third parties, usually in order for the business to avoid certain costs, such as taxes. In 2019, business process outsourcing contributed a much smaller proportion of the industry’s global revenue than information technology outsourcing, generating ** billion and **** billion U.S. dollars respectively. Other outsourcing segments within the global industry include business services, energy, healthcare and pharmaceuticals, retail, travel and transport, and telecom and media. In 2016, the leading driver for using outsourcing services, according to business executives, was to cut costs. Other drivers included, enabling focus on core business and solving capacity issues.