IT-BPM Sector Needs Experts Not Tech Coolies
The IT-BPM industry is increasingly shifting from a cost center to a capital-intensive sector that’s expected to deliver measurable returns. The nature of job is increasingly becoming complex as the industry has started employing higher levels of automation, cognitive intelligence and robotics into the process, with a new report stating that nearly one-fifth of the business is now automated.
The National Association of Software and Services Companies (NASSCOM) that recently hosted a two-day NASSCOM BPM Strategy Summit in Bangalore said that the Indian BPM industry with revenues of USD 28 billion in 2016 will continue to look at automation. The industry which has a total employee base of 1.1 million people and is known for higher levels of attrition will not see any major job cuts due to the process of automation but a change in roles of employees would be more value added than ever before.
Automation, and use of multiple disruptive digital technologies has already brought about big changes in the way IT-BPM sector now worked. India’s IT-BPM industry is projected to grow 8.5 per cent in FY2016 – from USD 132 billion in FY2015 to USD 143 billion (excluding eCommerce), an addition of USD 11 billion. The aggregate growth rate has been affected due to the dollars’ strengthening against the rupee bringing down domestic market growth to about 3.2 per cent. Nasscom said that the goal for the BPM industry is to reach USD50 billion by 2020.
With the implementation of IVR, the BPM sector, earlier called BPO sector has been dealing with automation for quite some time. The impact of automation impacted various industries over the recent years. The healthcare sector for example has seen the maximum level of automation. In the insurance sector too, almost 85 per cent of the work is automated as it helps companies achieve the primary goal of saving money for clients through a computerised measure.
Read more: Automation Axing IT Jobs Is A Worrying Sign
Similar views were echoed in a recently published cognizant report that stated, “ Both humans and robots can drive standard process delivery at scale,many organizations are also starting to use robots as a powerful lever for process standardization too, while leveraging skilled human workers for their unique talents.”
In other words, when robots can do the rote tasks less expensively, IT leaders need to take stock and shift people to more complex processes that allow them to apply innate human talents and creativity in ways that robots just can’t do.
What this also means is that the quality of hiring in the BPM sector is going a notch higher in the work they handle due to this shift. Share in total service exports is estimated at 45 per cent and the industry’s contribution relative to India’s GDP is 9.3 per cent. And IT-BPM industry should be well prepared for this shift.
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