India's business process management (BPM) industry is on the verge of a major shift with the introduction of generative artificial intelligence (AI). K Krithivasan, the CEO of Tata Consultancy Services, highlighted the diminishing necessity for call centers in the industry due to the rapid advancement of AI technology. He envisions a future where technology can predict incoming calls and address customer concerns proactively, reducing the need for traditional inbound call centers.
The BPM industry in India is outpacing the IT services sector in terms of growth, attributed to macroeconomic uncertainties impacting the latter. Companies within the industry are moving away from providing low-end voice-based services, with a significant portion of voice work being outsourced to locations like the Philippines. This shift signifies a changing landscape within the industry, emphasizing a focus on more advanced and value-added services.
Formerly known as business process outsourcing (BPO), the BPM industry underwent a rebranding in 2012 to embody the evolution and sophistication of the services it offers. This rebranding reflects the industry's maturity and readiness to adapt to technological advancements like generative AI, which are shaping its future trajectory. The transformation towards higher-value services and the integration of AI technology are redefining the landscape of India's BPM industry, steering it towards a more advanced and efficient operational model.