Look Out for these Outsourcing Trends in 2021

Industry News
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The outsourcing industry has been on the rise in the last decades. 

Moreover, because of the pandemic, many industries and businesses have undergone changes this year. In fact, the pandemic has ushered in the normalization of remote work and the digitalization of processes to protect its employees and to help in curbing the virus. Aside from the changes brought by the pandemic, a lot of companies have also brought in innovation. Moreover, with 2020 nearing its end, businesses need to be aware of the changes or trends that will face the industry in 2021. 

Read on to find out outsourcing trends we can see as we move on to 2021.

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Higher Cybersecurity Risks and Costs

In recent months, since the start of the pandemic, a lot of companies have transitioned to remote work, thus the need for more digital collaboration and processes. The change has brought in innovation and new ways of working. However, despite the positive effects of working from home, it also brought in higher risks of cyberattacks. In fact, the Cybersecurity Ventures forecasted that global cybercrime costs would grow 15 % every year for the next five years

Many companies in different parts of the world make use of offshoring when outsourcing. This practice also increases threats to work.

Because of that, more companies will spend more on cybersecurity. 

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Knowledge Process Outsourcing is on the Rise

The Knowledge Process Outsourcing (KPO) industry will only increase in market size for the next years. In 2016, the market was only valued at $28.94 billion. However, it is anticipated that it will reach $124.29 billion in 2025. 

It means higher competitiveness in the market between businesses. 

KPO is a subset of BPO. However, whereas BPO focuses on producing services that are related to a company’s non-core tasks, KPO focuses on core tasks. 

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Intensified Social Media Customer Service

Many people are now present on different social media platforms. In fact, it has become a medium for various industries in the world. Due to social media’s wide reach and fast innovation, it is only normal that many companies would intensify their social media presence and customer service.