InfoTrends recently came out with two reports on document outsourcing market. The reports highlight opportunities in document outsourcing, competitive landscape and emerging new markets.
Around two multi-clients in document outsourcing market were covered in this study. The reports are titled ‘Service Expansion Opportunities for Document Outsourcing: North America’ and ‘Service Expansion Opportunities for Document Outsourcing: Western Europe’. The research identified new service opportunities for providers, who have relied much on traditional print and document-centric outsourcing services.
As per the study, use of emerging technologies in document outsourcing market has resulted in improved operations and reduced costs. Mergers, acquisitions, and market entrants have impacted the margins from traditional services. These challenges encouraged providers in implementing business process management in operations. Adopting BPM services in document outsourcing help in cost savings, gaining access to newer and better technology, enjoy subject matter expertise and have better work flow efficiencies.
Report concludes that providers usually go for BPM services by assigning the entire document intensive business with an external service provider. The process encompasses a well defined sequence of activities, with a specific input and a specific output. BPM helps in streamlining of process, improving quality and reducing cost.
Riley McNulty, Associate Director of InfoTrends Consulting Service and Project Manager of the study said ‘Point solutions address cost reduction needs, but put providers into low-margin roles. Bundled services add value and address the more complex set of customer requirements around operational agility, flexibility, and process control’.
Another trend in document outsourcing market is the expansion of services. Though many providers expressed their desire to expand services, only a few among could make this a reality. Matt Swain, Associate Director of InfoTrends’ Document Outsourcing Service, cited the need for differentiation in each provider. They must highlight the advantages of their services over competitors. This can attract enterprise customers who are keen to depend on services from existing suppliers than bringing in new vendors.
InfoTrends conducted the study on service expansion opportunities for document outsourcing, and looked at the following aspects.
- Identification of new service opportunities beyond traditional outsourcing
- Identifying the trend towards outsourcing
- Estimation of the range of contract values for business process management
- Analyzing future growth potential by services and geographic location
- Determination of staffing requirements in BPM for competitive differentiation
- Determination of technology requirements in BPM for competitive differentiation
- Identification of decision-makers and assessing customer requirements
- Discussing marketing strategies for comprehensive growth
The findings in the report indicate that it is better to expand document outsourcing market and to go with changing market trends. Opportunities for BPM in this sector are increasing day by day.