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Front-Office Outsourcing Predictions for 2014

by: Sarah Joson

Thursday, December 5, 2013 |

The latest industry report "2014 Trends to Watch: Front-Office BPO" from market analysis and consultancy firm Ovum highlights the diversification of the global outsourcing industry, particularly the contact center services segment. At CIOL.com, it was projected that in 2014, more opportunities will rise in the healthcare information management sector; more agents will be working from home in the US, and there would be a positive outlook for the offshore segment.

Other projections are:
Vendors will take notice of the opportunities in high-value services, and will be considering end-user-focused services.
There will be consistent activity amongst home-based agents in the US in 2014. However, it will still be minimal compared to other service delivery models in the country.
Voice-based services in the healthcare segment are expected to grow as well due to the new service efficiency and cost management goals set by buyers and providers.
Buyers will consider emerging countries for new possibilities, and are projected to look into offshore opportunities in various mature destinations.

According to Peter Ryan, author of the report and Principal Analyst for global IT services at Ovum, the results of the annual CRM Outsourcing Business Trends survey show that budgets will decrease or remain flat in 2014. He added that a large number of enterprises will be pushing for hardest bargains when dealing with third party providers.

In addition to that, he said providers will look for ways to maximize budget and minimize excessive amounts of margin by driving more value for the budget through improved services, instead of offering more types of services.

Meanwhile, the trend for work-from-home employees will decrease in Canada, Australia, and Western Europe. US, on the other hand, will account for 90 percent of third party home-based agent service delivery models in 2014.

Ovum foresees that countries that have government-centric healthcare systems will emerge as the principal segment for new outsourcing opportunities.

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