back office workforce management Market

The back office workforce management market size is projected to reach US$ 6,713.2 million by 2028 from US$ 3,601.4 million in 2022; the back office workforce management market share is expected to grow at a CAGR of 10.9% from 2022 to 2028.

Artificial intelligence (AI) has become increasingly significant in the management of employees, helping companies improve performance, reduce costs, and enhance employee satisfaction. In particular, for large organizations with numerous employees spread across various business sectors and regions, it can take time to identify suitable candidates with the requisite skills and qualifications. AI can be employed to analyze the skill sets of current employees and match them with the skill requirements specified by managers, considering their abilities, previous work experience, and career aspirations. Additionally, AI can be used for performance evaluations, providing objective assessments based on reliable data, rather than subjective opinions that may be prone to bias. For example, Kloud9's Intelligent Workforce Management Talent Studio utilizes AI capabilities for analytics, forecasting, and capacity planning. As a result, integrating AI with workforce management solutions is expected to drive new trends in the back office workforce management market.

The Asia Pacific region is a significant producer and exporter of commodities, with India, China, South Asian countries, Indonesia, Japan, and Australia being the key contributors. To manage their skilled workforces and improve productivity, companies are increasingly adopting automation-based solutions and self-service technologies, leading to the growth of cloud-based workforce management systems in the region. In this context, back-office workforce management market growth in Asia Pacific is fragmented, with players like Infor, IBM Corporation, Oracle, ADP, Krones Incorporated, and Workday Inc. investing heavily in research and development and collaborating with stakeholders on various projects. For instance, ADP partnered with Omnia in June 2021 to provide payroll and human resource management solutions to government and educational organizations, giving the company access to around 50 educational institutions across states. Overall, in the current uncertain economic scenario, seamless management and implementation of organizational processes are critical, and workforce management systems play a vital role in ensuring smooth and flexible functioning.

India, China, and Japan are home to many manufacturers and users of back office workforce management solutions. While these countries have eased containment measures, some major tech giants had to temporarily halt operations at their Malaysian facilities in Q3 2021 due to a surge in COVID-19 cases. The Asia Pacific region is known for its robust industrialization, with many companies across diverse industries requiring significant data storage to run their virtual operations. In 2020, social restrictions prompted most industries to operate with limited on-site workforces or to have their back-office employees work from home. This created a demand for remote cloud-based employee performance tracking and scheduling solutions in the region. Moreover, the advanced features provided by real-time tracking and automation of back-office tasks have further fueled the demand for back office workforce management solutions.

The back office workforce management market is categorized based on solution, end-use industry, and geography. In terms of solution, the market is segmented into performance management, back office optimization, process analytics, robotic process automation, and others. The end-use industry segment includes IT and Telecom, BFSI, transportation, retail and e-commerce, government, and others. Geographically, the market is divided into five regions: North America, Europe, Asia Pacific, the Middle East & Africa, and South America.

The back office workforce management market size has been determined through a combination of primary and secondary research. The secondary research involved the use of internal and external sources to collect both qualitative and quantitative information related to the market. This process was also used to obtain an overview and forecast of the market across all segments. In addition, multiple primary interviews were conducted with industry experts, including VPs, business development managers, market intelligence managers, national sales managers, and external consultants such as valuation experts, research analysts, and key opinion leaders who specialize in the back office workforce management market. These interviews were conducted to validate the data and gain more analytical insights.