Business Process Management Market Size, Share, and Growth Forecast from 2024 - 2031

Business Process Management Market Size and Share Analysis

The global business process management market is anticipated to reach a value of US$ 20.7 Bn by 2024. It is estimated to witness a CAGR of 17.9% during the assessment period to attain a size of US$ 65.4 Bn by 2031.

Rise of AI and machine learning integration in BPM software is assisting in enhancing process automation and decision-making capabilities. Around 64% of organizations across the globe plan on deploying AI and ML tools in their BPM systems by 2026. This highlights the rising reliance on AI-driven process automation and decision support tools to stay competitive.

Generative AI tools integrated in BPM software assist with tasks like summarization, conversational interactions, and content drafting to enable quick and data-driven decisions across several sectors. Organizations using AI-integrated BPM reported a 30% improvement in process efficiency along with a 25% reduction in operational costs.

Key Highlights of the Industry

• Rising reliance on cloud-based BPM solutions is improving scalability and accessibility, especially among SMEs.
• Focus on customer-centric solutions along with industry-specific process optimization is driving demand for BPM solutions in sectors like BSFI, healthcare, and manufacturing.
• Organizations are adopting Green BPM strategies to align their business processes with ESG objectives because of regulatory pressures and demand for sustainable practices.
• Low code/no-code platforms are witnessing a rise as these democratize process management by enabling non-technical users to design workflows, thereby raising BPM user base.
• BPM providers are offering modular solutions to enable companies to scale or customize their BPM system based on business requirements.
• In terms of component, the service category is anticipated to witness a CAGR of 13.3% through 2031 as these assist businesses to identify process inefficiency and select the right BPM tool to integrate in the workflows.
• By business function, the accounting and finance segment is predicted to witness a CAGR of 12.1% through 2031 as intelligent automation in the field drives adoption of BPM solutions.
• North America business process management (BPM) market is projected to hold a CAGR of 11.1% through 2031 as businesses shift focus on customer-centric models.
• The business process management market in Asia Pacific is set to register a CAGR of 13.4% through 2031 as the region continues to focus on process optimization and automation.

 

Market Attributes	Key Insights
Business Process Management (BPM) Market Size (2024E)	US$ 20.7 Bn
Projected Market Value (2031F)	US$ 65.4 Bn
Global Market Growth Rate (CAGR 2024 to 2031)	17.9%
Historical Market Growth Rate (CAGR 2019 to 2023)	13.7%

North America Sees Rapid Shift of Firms toward Digital Practices

Businesses in North America are progressively adopting BPM solutions to streamline their operations, enhance business agility, and cut total costs. This shift is particularly critical amid the evolving market conditions and the requirement for organizations to swiftly adapt to changes. As companies in the region continue their digital transformation journey, BPM is becoming a key enabler for aligning business processes with digital objectives.

Adoption of Cloud-based BPM Solutions is Fostering Demand in Asia Pacific

Growth of the business process management market in Asia Pacific is attributed to the increasing internet penetration. For example,

• By 2022, the region was home to around 3 billion internet users that represented around 61% of the population. This is anticipated to fuel demand for digital business transformation and BPM solutions.
• Around 44% of respondents are using private clouds and nearly two-thirds of them are engaging with public clouds. This shift to cloud-based BPM solutions is estimated to continue in the region.

The rapid rise of small and medium-sized enterprises in Asia Pacific is also substantially contributing to BPM demand. SMEs are leveraging BPM tools to automate processes and enhance operational efficiency as they scale their operations.

BPM Services to Witness Constant Growth Due to Rapid Digital Expansion

Category	CAGR through 2031
Component- Service	13.3%

Businesses across the globe have an increasing need to optimize operations and improve efficiency through services like BPM consulting, implementation, support, and training. As they are adopting sophisticated solutions, demand for professional consulting and implementation services is further set to rise.

BPM solutions are becoming integral in daily operations. Businesses hence require ongoing support and maintenance to ensure these systems run smoothly. The shift toward cloud-based BPM solutions is likely to drive the service component. SaaS BPM platforms enable businesses to scale effectively while providing access to unique features.

Need for Automation of Routine Financial Tasks to Boost Adoption of BPM Solutions

Category	CAGR through 2031
Business Function- Accounting and Finance	12.1%

Demand for BPM software in accounting and finance is highly driven by the rising requirement for automation in routine tasks like invoicing, auditing, and reporting. AI and RPA integrations are becoming critical as they assist in streamlining the automation of financial workflows, thereby enhancing decision-making and decreasing manual errors.

Another key factor contributing to growth in industries like finance is the rapid adoption of cloud-based BPM solutions. These help ensure scalability and flexibility, especially amid the urgent need for digital transformation.

Business Process Management Market Introduction and Trend Analysis

Key factors driving the business process management market growth include the rising adoption of hyperautomation, integration of AI and machine learning, and cloud-based BPM solutions. Hyperautomation, combining IA and RPA, is transforming BPM as they enable the seamless orchestration of complex workflows, thereby enhancing efficiency and decision. Generative AI is also emerging as a transformative force that allows innovative process designs while accelerating business process development.

Sustainability is becoming a central focus with ‘Green BPM’ practices gaining traction. These practices align operational efficiency with environmental goals like reducing waste and energy consumption.

Increasing reliance on cloud technologies is driving the adoption of cloud-based BPM solutions as they offer scalability, cost-savings, and quick deployment. It makes this particularly appealing to small- and medium-sized businesses.

Historical Growth and Course Ahead

The business process management market witnessed a robust CAGR of 13.7% during the historical period between 2019 and 2023. Adoption of cloud platforms drove substantial growth owing to their flexibility and decreased infrastructure costs.

The COVID-19 pandemic boosted BPM adoption as businesses sought solutions to ensure work continuity, streamline operations, and enable remote work environments. The period also witnessed an increasing demand for process automation along with digital collaboration tools. AI and RPA became pivotal as they enabled organizations to handle repetitive tasks efficiently while deriving actionable insights from process data.

Market Growth Drivers

Increased Focus on Customer Experience to Fuel Demand

High focus on Customer Experience (CX) is a significant trend in the BPM industry. Rising emphasis on CX perfectly align with the broad shift toward digital transformation where organizations are leveraging BPM tools to understand, manage, and enhance interactions with consumers.

BPM solutions assist in integrating customer journey mapping, analytics, and process automation to create personalized and seamless experiences. These capabilities assist organizations to meet the growing expectations for real-time, efficient, and personalized services that are crucial in maintaining consumer satisfaction and loyalty. For instance,

• Based on a survey, 91% of businesses are engaged in some form of digital initiative where BPM plays a key role by enabling process optimization and automation that enhance customer service.

BPM platforms can integrate several consumer touchpoints, streamline communication, and automate workflows that improve service delivery. This integration further enables businesses to provide quick responses to customer inquiries, resolves issues efficiently, and deliver personalized services.

Integration of BPM with the Internet of Things to Propel Demand

Integration of BPM with the Internet of Things (IoT) offers substantial opportunities for organizations to enhance operational efficiency, improve decision-making, and bring innovation in service delivery. Businesses are progressively utilizing IoT sensors to monitor manufacturing operations, perform remote diagnostics for products, and track inventory. BPM systems also enable seamless automation and monitoring of these processes.

IoT-integrated BPM is revolutionizing processes in the healthcare sector through early diagnosis and patient monitoring. A case study on digital cardia arrhythmia detection exhibited how IoT devices could be used to monitor patient’s health in real-time. BPM frameworks can handle data flow, trigger alerts, and ensure timely interventions.

Market Restraining Factors

Resistance to Change Likely to Impact Use Globally

Studies show that 37% of employees actively resist change, owing to mistrust in their organizations and fear of the unknown. A lack of clear communication exacerbates resistance, with around 29% of non-managers fully understanding the changes they face. In contrast, a collaborative communication strategy can significantly enhance buy-in.

Frequent changes in processes without proper support can result to ‘change fatigues’ with 71% of employees reporting being overwhelmed by constant adjustments. Resistance is also often driven by cultural misalignment and inadequate involvement of employees in the decision-making process. When excluded from change-related decision, around 23% of employees expressed dissatisfaction, thereby hindering BPM adoption.

Market Growth Opportunities

Robotic Process Automation and Low-code Platforms to Foster Adoption

Robotic Process Automation (RPA) assists in automating repetitive and rule-based tasks like data extraction, system integrations, and invoicing, thereby enhancing operational efficiency. Based on studies, RPA can assist in reducing workload by automating time-consuming manual processes with companies in the finance sector reporting up to 25,000 hours of avoidable work saved annually.

RPA alone faces limitations in handling complex or unstructured data and hence low-code platforms are required to add value by introducing intelligent automation. These platforms simplify application development by enabling non-technical users to create, modify, and deploy applications with minimal coding. For instance, low-code tasks can incorporate Intelligent Document Processing (IDP) and AI, thereby enabling RPA bots to manage unstructured data effectively.

Integration of RPA and low-code platforms is pivotal in streamlining workflows, especially while scaling automation efforts across large organizations. These technologies together facilitate automation of not just specific tasks but of the entire business processes, thereby enabling ‘hyperautomation’ where humans, AI, and bots can collaborate seamlessly.

BPM is Progressively Being Used for Sustainability and ESG Initiatives

BPM plays a key role in assisting companies meet sustainability as well as Environmental, Social, and Governance (ESG) objectives as they are gaining traction in the corporate world. The global emphasis on ESG initiatives and sustainability is transforming how businesses operate, thereby requiring them to streamline processes for greater accountability and compliance.

BPM tools and strategies support businesses in aligning their ESG goals like ensuring labor practices, decreasing carbon footprints, and improving transparency in governance. Key drivers facilitating the adoption of BPM for sustainability and ESG includes the rising need for enhanced transparency and increasing importance of managing environmental risks in supply chains. The year 2024 is predicted to witness stringent compliance standards like the EU’s Corporate Sustainability Reporting Directive (CSRD) and the SCF’s climate-related disclosures in the U.S.

Competitive Landscape for the Business Process Management (BPM) Market

Businesses in the BPM industry are leveraging novel technologies to enhance decision-making. They are progressively incorporating Lean and Six Sigma methodologies to minimize waste, decrease process variability, and ensure continuous improvement. Companies are understanding and enhancing consumer experiences across different touchpoints to improve business agility and responsiveness.

Organizations are providing modular solutions to enable companies to scale or customize their BPM systems based on particular business requirements. They are also increasingly collaborating with cloud providers and other tech innovators to integrate novel technologies in their offerings. Several companies are extending their BPM capabilities through strategic acquisitions of innovative BPM firms or niche technology providers.

Recent Developments in Business Process Management Market

• In October 2024, Conga, headquartered in Colorado, launched the Conga Advantage Platforms, the world’s first truly open revenue lifecycle management platform.
• In September 2024, London-based WNS, a leading provider of global digital-led Businesses Process Management (BPM) solutions, launched TRAC ONE-F, an AI-integrated Unified Finance HyperApp.
• In June 2024, Automation Anywhere, based in San Jose, launched AI+ automation enterprise system AI gathers pace.
• In May 2024, Corporater, headquartered in Norway, unveiled a new business process management engine for enhanced GRC and Performance Management (GRPC).
• In May 2024, SolarWinds, based in Texas, announced the launch of SolarWinds AI to transform IT operations and empower tech pros to manage the complexities of advanced digital environments.
• In April 2024, Germany-based GBTEC unveiled ‘Arty,’ a new generation of AI capabilities for business process transformation.
• In March 2024, Fusion CX, based in Ohio, a provider of BPM and CX solutions opened its new facility in Chennai, India, thereby strengthening its presence in the country.
• In March 2024, WNS, headquartered in London, launched a new delivery center in Hyderabad, India to focus on building and delivering industry-led digital solutions.
• In March 2024, England-based Deloitte launched InvestAcceleration, an industry accelerator for investment management for Workday Financial Management.
• In February 2024, FUJIFILM Business Innovation Australia launched FUJIFILM IWpro to accelerate business process transformation.

Business Process Management (BPM) Market Report Scope

Attributes	Details
Forecast Period	2024 to 2031
Historical Data Available for	2019 to 2023
Market Analysis	US$ Billion for Value
Key Regions Covered	North America Europe East Asia South Asia and Oceania Middle East and Africa Latin America
Key Market Segments Covered	Component Business Function Industry Region
Key Companies Profiled in the Report	Pegasystems Appian IBM Oracle Software AG Nintex Infosys Ltd. Newgen Software Genpact Accenture
Report Coverage	Market Forecast and Trends Company Share Analysis Competitive Intelligence DROT Analysis Market Dynamics and Challenges Strategic Growth Initiatives
Customization and Pricing	Available upon request

Business Process Management Market Segmentation

By Component

• Solution
• Service

By Business Function

• Human Resource Management
• Procurement and Supply Chain Management
• Sales and Marketing
• Accounting and Finance
• Customer Service Support
• Others

By Industry

• BFSI
• IT
• Telecommunication
• Retail and Consumer Goods
• Healthcare and Life Sciences
• Other

By Region

• North America
• Europe
• East Asia
• South Asia and Oceania
• Latin America
• The Middle East and Africa

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