Business Process Outsourcing Trends in 2020?

May 11, 2020

2020 is the year where the business process outsourcing (BPO) industry will greatly make up for its previous concerns in skill shortages, increased trade protectionism, and political gridlock.The business outsourcing companies are deeply inclined and have eyed the overall market growth and reduced regulations which can majorly slingshot them with a competitive advantage.Emerging and disruptive technologies are implemented by outsourcing service providers where cloud computing and automation technologies stand in prime. As a result, global business firms are looking out for the best outsourcing partners who utilize the competence and innovation of 2020 and the future.

This will effectively help them tackle the dynamic market challenges, for enhancing their various products/services, and compensate the requirement for skilled personnel – all the while maintaining its core aspect - cost-effectiveness.

So let’s have a look at all the business process outsourcing trends of 2020 in detail.

1.New and Emerging Technologies

New and emerging technologies such as automation, cloud computing, RPA, social media, etc. are being used by business outsourcing companies these days. Let’s have a look at them in detail:

• Automation

Robotic process automation (RPA) is the major technology with an impact, and it uses bots and artificial intelligence (AI) replacing older tech. The AI is integrated with a user interface for faster task completion at significantly low costs. More and more processes are getting automated bringing innovation to existing clients, cost-effectively, and improving productivity.

• Social Media

Social media is a game-changer and has caused a major shift in consumer behavior. The colossal data harvested from social media help companies to figure out the upcoming trends and customer preferences. Real-time customer engagement data provides first-hand product insights and issues, even future ones. This helps in tailoring the exact products/solutions that address customer requirements. Consumer demand for multi-channel communications (including social media, live chat, etc.) is booming giving more monitoring options, and business intelligence to quickly, and provides higher customer experience and satisfaction.

• Cloud Computing

This virtual storage and systems technology compensates for the lack of state-of-the-art infrastructure, data centers, software, hardware facilities, or personnel shortage esp. for small and medium businesses having budget constraints. Business collaboration is highly improved with outsourcing service providers and clients due to a standardized operational system underlining flexibility and scalability. Easy data access (remote as well), search and retrieval, storage enhancements, impenetrable data security, etc. ensure business continuity for clients due to effective risk management and simplified data administration.

2. Skill Shortage is Mastered with Multitasking

The BPO industry now has a broad spectrum and technologically advanced services for all industrial sectors/verticals. Almost all of the business outsourcing companies are heavily investing in newer technologies to tackle these high-end offerings and to reduce prices and skill shortages. It has paved the way for low-cost alternatives such as AI and automation.

Automation holds a job threat to low-skilled human employees and to counter the same, these employees are upskilled or reskilled to meet the demands.

3. Startup Firms will be the new Clients

Startups and their constraints with budgets, time, and resources have been putting them under a lot of pressure for achieving business success. Hence they turn towards the best outsourcing partner companies for solid footing. This trend is rising steadily and more have become more pronounced in 2020. As a result, the tedious tasks of startups are getting completely quickly, in high-quality and technological competence, and cost-effectively helping them gaining increased revenue.

4. Increased Levels in Transparency

The BPO industry has now initiated more transparency with their clients, regarding policies and contracts, and pricing especially after the coming of more and more small scale businesses. Information about the outsourcing partner’s technology stack, infrastructure facilities, personnel capabilities, and investment areas, etc. are now clearly informed to clients before the commencement of projects. This ensures a high level of trust between potential clients, preventing them from choosing other business process outsourcing (BPO) companies. This trend also fosters better partnerships, business innovation and wide investment options as information access is prevalent.

The increased transparency will continue to rise and is a result of government intervention.

5.The Emergence of New Outsourcing Destinations

Although the growth of the top outsourcing destinations will continue, they are oversaturated and facing a reduction in business growth making clients look for other cost-effective outsourcing destinations.

And these emerging outsourcing destinations or countries in 2020 have a workforce that is well-versed with major European languages with a large pool of technically proficient personnel, and low salary schemes. The destinations are: • Bulgaria is the 12th most globally desirable outsourcing destination with the lowest salaries amongst EU nations. • Romania is the fastest-growing EU economy with the fastest internet connection and most desirable global outsourcing destination. It also has the second-lowest salary. • Egypt is the 16th most desirable global outsourcing destination and outsourcing businesses are offered tax incentives from the Government. Its infrastructural aspects are booming, including Silicon Waha’s technology parks. • Mexico is the 8th most desirable global outsourcing destination due to its proximity to Silicon Valley and is politically and economically stable. • Colombia is the 20th most desirable global outsourcing destination and has government-sponsored technical training and minor time zone differences between US/Mexico. The depreciation of the peso majorly favors growth in investment.


The year 2020 impacts outsourcing service providers and the global BPO industry with a highly positive growth factor. Cost-efficient processes, cutting-edge technologies, and automation will take over the sector soon. And low-skilled employees are being upskilled or reskilled for broadening their spectrum to overcome the automation threat. Startups will seek the best outsourcing partners for their business success as a major new client. Increased levels in transparency will benefit global business firms to take advantage of the business sector.

These are the trends that will undoubtedly boom the global outsourcing industry with billions of revenue and exceptional growth.



Feel free to communicate your needs, ideas, feedback, and thoughts to our WhatsApp account at


To get further details about our services and business quotes, drop us an email at
[email protected]
[email protected]


You can schedule a call with our experts and discuss about your project requirements without any worries.