There is plenty of evidence to suggest that the global economy is on a path to recession. Most sectors will be impacted, of course, including Business Process Services (BPS). However, as the industry is quite heterogenous, the impact on different BPS segments will vary and depend on multiple factors. It’s critical to have a nuanced view of the market across BPS segments (for example, HR vs. F&A) to identify/develop strategies to not only cope with the downturn, but to emerge stronger.
In this report, we explore the likely impact of a recession on the BPS industry. We outline a framework for service providers to understand the relative impact of a recession on various BPS segments and suggest appropriate strategies for each segment based on a provider’s financial position.