Business Process Management Market

Market Overview

The global business process management market size be valued at USD 13.13 billion in 2022. It is estimated to reach USD 60.49 billion by 2031, growing at a CAGR of 18.5% during the forecast period (2023–2031). There has been a surge in digitization in almost every field worldwide, and businesses are undergoing robust digitization, driving the global business process management market. Moreover, integrating AI in business process management to enhance the efficiency of business processes is, in turn, boosting global market growth.

Business process management is a systematic strategy that aims to enhance the processes of an organization with the ultimate goal of attaining heightened operational efficiency, improved performance, and expanded agility. It encompasses the following activities: business process design, modeling, execution, monitoring, and optimization.

Software and automation tools are frequently utilized to aid in the automation of processes and the orchestration of workflows. The integration of management, engineering, information technology, and continuous improvement methodologies is encompassed within this multidisciplinary field. BPM can be implemented in numerous processes and industries, including customer service, finance, healthcare, and manufacturing, to increase productivity, decrease expenses, and enhance the quality of goods and services.

Market Dynamics

Business Process Management Market Drivers

Deployment of AI in BPM

AI is gaining popularity across different industry verticals. The incorporation of AI into BPM has substantially contributed to expanding the BPM market. A survey by Accenture predicts that by 2035, the implementation of AI to automate or improve business operations will generate substantial profit increases for a vast array of companies. Therefore, the key players in the market are deploying AI in their portfolios to enhance the business management process.

For instance, in August 2023, Firstsource Solutions Limited, an RP-Sanjiv Goenka Group company and a global provider of business process management (BPM) services, unveiled FirstSenseAI, an artificial intelligence (AI) platform that empowers organizations to acquire instantaneous customer data to generate intelligent, individualized interactions, as well as make prompt decisions and provide insights. Enhanced by its capability to comprehend and address a customer's requirements within seconds, FirstSenseAI elevates the human experience, increasing business process efficiency and customer loyalty. Such initiatives are expected to drive market growth.

Rapid Digitalization of Business

As IT and telecommunications develop, more industry verticals integrate IT solutions into their business processes. Companies from different industries are transforming their business processes into digital formats to streamline the business and improve productivity. By automating workflows, augmenting customer experiences, and improving operational efficiency, BPM solutions and tools are vital in facilitating digital transformation.

Business process automation automates manual and repetitive duties in business processes through technology; this results in increased productivity, precision, and cost savings. Automation could increase annual global productivity growth by 0.8% to 1.4%, according to McKinsey. 24% of businesses would automate jobs to reduce operational expenditures. Thus, the rise in business process automation owing to rapid digitization is increasing the adoption of business process management solutions, thereby boosting market growth.

Business Process Management Market Restraint

Data Security and Privacy Concerns

Concerns about privacy and data security are a major barrier to the growth of the business process management industry. Incorporating big data analytics and the Internet of Things into operational procedures has resulted in substantial data, encompassing confidential enterprise information, asset valuation, and monitoring data for production equipment.

The vulnerability of this sensitive data to cybersecurity threats and data leakage is extremely high. The expansion of the market for business process management (BPM) may be adversely affected by these concerns. Therefore, these factors are anticipated to restrain the market's growth for business process management throughout the forecast period.

Business Process Management Market Opportunities

Strategic Initiatives by Key Players

Major players in the market are involved in strategic initiatives like expansion, collaborations, and mergers and acquisitions to strengthen their market share. For instance, in November 2022, WNS Holdings Limited, a prominent provider of global Business Process Management (BPM) solutions and a publicly traded company on the New York Stock Exchange (NYSE), inaugurated its new delivery center in Visakhapatnam, India. The establishment of this center will enhance the pre-existing capabilities of WNS to provide industry-specific digital solutions for an extensive range of sectors, such as insurance, banking and financial services, transportation and logistics, healthcare, and other high-tech and professional services.

In addition, in September 2022, ProcessMaker, a global leader in process management and digital business transformation, announced the acquisition of Doculayer, an Amsterdam-based intelligent document processing specialist. Doculayer is renowned for its advanced intelligent document processing solution, which is both potent and novel. By completing this acquisition, ProcessMaker further enhances its all-encompassing strategy for automating and orchestrating processes. This guarantees that businesses committed to digital transformation, compliance, and operational excellence can enhance processes, accelerate automation decision-making, and increase their bottom line. Thus, such initiatives create opportunities for market growth.

Regional Analysis

North America Dominates the Global Market

Based on region, the global business process management market is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

North America is the most significant global business process management market shareholder and is estimated to expand substantially during the forecast period. The growth and adoption of business process management (BPM) in North America are impacted by many factors. There are rigorous regulatory standards in place across multiple sectors in North America, including healthcare, finance, and environmental compliance. BPM reduces the likelihood of incurring fines and legal complications by assisting organizations in maintaining compliance and meeting these requirements.

North America, particularly the U.S., is a hub of small businesses. For instance, the SBA estimated that 32.5 million small businesses existed in the United States as of 2021. The number of new small enterprises increased by 42,650 between March 2019 and March 2020. The proportion of non-small businesses in the United States is only 0.01%. A majority of 98% of organizations have 20 or fewer personnel, while 89% have fewer than 100. These small enterprises employ more than 61.2 million Americans. This represents 46.8% of the employed population on a national scale. These small businesses increase the demand for BPM to manage all their business processes efficiently, thereby boosting the BPM market in the region.

In the Asia-Pacific region, the BPM industry is expanding at a rapid rate. China, India, Japan, and Australia, among others, are significant contributors to this expansion. The demand for business process outsourcing (BPM) solutions is fueled by the expanding IT and BPO sectors in the region, as well as the rising adoption of automation technologies. In North America, the intensely competitive business environment motivates businesses to continuously enhance their operational procedures to maintain a competitive edge. In light of this, the market players are also establishing new regional facilities to strengthen their market share. For instance, in August 2023, Chief Minister Naveen Patnaik of Odisha inaugurated a center operated by Infosys BPM Limited, an enterprise wholly owned by the IT behemoth Infosys Limited. The new Infosys BPM (Business Process Management) center is the organization's inaugural establishment in the eastern region of India. These factors contribute to the surging adoption of BPM in the region.

Europe constitutes a significant market for BPM, where nations such as the Netherlands, Germany, the United Kingdom, and France are at the forefront of its implementation. The key market players are collaborating to enhance their offerings in the business sector. For instance, in November 2022, Infosys BPM, the business process management division of Infosys, opened the Center of AI and Automation at the Infosys Business Experience Lounge in Poland today in collaboration with IBM, with the mission of delivering digital excellence to enterprises worldwide. This declaration highlights the fruitful partnership between Infosys BPM and IBM for the past two years, during which the two companies have successfully assisted clients in their hybrid cloud innovation endeavors, identified novel use cases, and developed solutions. This is expected to stimulate market growth in the European region.

Segmental Analysis

The global business process management market is bifurcated into solution, deployment, application, and end-user.

Based on the solution, the global business process management market is bifurcated into automation, process modeling, content and document management, monitoring and optimization, integration, and others. 

Business process management requires continuous monitoring as a fundamental component. It entails monitoring and analyzing metrics and key performance indicators (KPIs) to ensure that processes are operating efficiently and achieving their goals. The monitoring process enables the identification of bottlenecks, inefficiencies, and chances for improvement. Moreover, the optimization of business process management entails companies making educated decisions by leveraging the data and insights obtained during the monitoring phase. In order to enhance efficiency and effectiveness, it may be necessary to make adjustments to the process design, implement automation for some tasks, or undertake a complete process reengineering.

Based on deployment, the global business process management market is segmented into on-premise and cloud. 

Cloud deployment in Business Process Management (BPM) pertains to the hosting and execution of BPM software and associated processes within a cloud-based environment. This stands in opposition to the conventional on-premises deployment method, which entails the installation and upkeep of BPM software and related infrastructure within the data centers of an organization. Deployment to the cloud enables users to access BPM processes and tools from any location with an internet connection, facilitating the collaboration of distributed and remote teams on BPM tasks. In addition, BPM solutions hosted in the cloud are readily scalable to accommodate fluctuating business needs. Organizations that experience fluctuating responsibilities can greatly benefit from this adaptability.

Based on end-users, the global business process management market is bifurcated into SMEs and large enterprises. 

Processes within large enterprises are frequently intricate and interdependent. The communication and collaboration requirements of large enterprises are frequently complex. BPM can potentially enhance cross-functional collaboration by improving team communication and workflow. In addition, business process management (BPM) is a strategic methodology implemented by large enterprises to foster operational excellence and guarantee the organization's ability to adapt and compete in a dynamic business environment. It necessitates a dedication to ongoing enhancement and the unity of procedures with the goals and objectives of the organization.

Based on application, the global business process management market is segmented into BFSI, IT, retail, manufacturing, healthcare, government and defense, and others.

BPM can significantly impact efficiency, patient care, and overall operations in the healthcare industry. BPM can potentially optimize patient flow in healthcare facilities, including clinics and hospitals. Optimizing scheduling, registration, triage, and discharge procedures can decrease patient wait times and increase satisfaction. EHR system design and implementation can be facilitated with BPM. It facilitates the standardization of data entry, data retrieval, and information sharing among healthcare providers, thereby assuring the accessibility, security, and accuracy of patient information. In addition, the processes associated with telemedicine and remote patient monitoring are amenable to BPM. It facilitates the development of streamlined processes for remote patient management, data collection, and virtual consultations, thus increasing access to care.

Recent Developments

• November 2023: WNS Holdings Limited, a prominent international provider of Business Process Management (BPM) solutions, declared that it is augmenting its portfolio of Generative AI (Gen AI) solutions through the integration of Microsoft Azure OpenAI Service.
• November 2023: Flowfinity, the industry leader in no-code business process automation platforms, provided complimentary access to their most recent application, the Project Asset Hub. Tailored to the specific requirements of prominent business analysis experts, this adaptable instrument revolutionizes how process enhancers oversee and control documentation on business process management (BPM) endeavors of any scale.