Connect with us

Technology

Human Resource Outsourcing (HRO) Market size to grow by USD 14.1 Billion (2025-2029), digitization boosts the market, Report on how AI is redefining market landscape – Technavio

Published

on

NEW YORK, Feb. 5, 2025 /PRNewswire/ — Report with market evolution powered by AI – The global human resource outsourcing (HRO) market size is estimated to grow by USD 14.1 billion from 2025-2029, according to Technavio. The market is estimated to grow at a CAGR of  5.3%  during the forecast period. Digitization of human resource outsourcing is driving market growth, with a trend towards rise in adoption of recruitment analytics. However, increased dependence on outsourcing agencies  poses a challenge. Key market players include Accenture PLC, Adecco Group AG, Aon plc, Automatic Data Processing Inc., Capgemini Services SAS, Capita Plc, Ceridian HCM Holding Inc., CGI Inc., FMR LLC, Genpact Ltd., HCL Technologies Ltd., Hewlett Packard Enterprise Co., Hexaware Technologies Ltd., Infosys BPM Ltd., International Business Machines Corp., ManpowerGroup Inc., MHR International UK Ltd., Randstad NV, UKG Inc., and Wipro Ltd..

Key insights into market evolution with AI-powered analysis. Explore trends, segmentation, and growth drivers- View Free Sample PDF

Human Resource Outsourcing (HRO) Market Scope

Report Coverage

Details

Base year

2024

Historic period

2019 – 2023

Forecast period

2025-2029

Growth momentum & CAGR

Accelerate at a CAGR of 5.3%

Market growth 2025-2029

USD 14.1 billion

Market structure

Fragmented

YoY growth 2022-2023 (%)

5.0

Regional analysis

North America, Europe, APAC, South America, and
Middle East and Africa

Performing market contribution

North America at 44%

Key countries

US, Canada, China, Germany, India, UK, Japan,
France, Brazil, and Italy

Key companies profiled

Accenture PLC, Adecco Group AG, Aon plc,
Automatic Data Processing Inc., Capgemini
Services SAS, Capita Plc, Ceridian HCM Holding
Inc., CGI Inc., FMR LLC, Genpact Ltd., HCL
Technologies Ltd., Hewlett Packard Enterprise Co.,
Hexaware Technologies Ltd., Infosys BPM Ltd.,
International Business Machines Corp.,
ManpowerGroup Inc., MHR International UK Ltd.,
Randstad NV, UKG Inc., and Wipro Ltd.

Market Driver

Human Resource Outsourcing (HRO) market is witnessing significant growth as businesses seek to outsource HR functions to external service providers. This trend is observed across various industries, including IT and hospitality, where HR tasks are being handed over to third-party organizations. HRO offers cost savings, improved efficiency, and reduced administrative burden by leveraging the specialized expertise of external HR professionals. Performance management functions, such as performance appraisal systems and feedback mechanisms, are key areas of focus. Technological advancements, including IoT, cloud computing, big data, and social media, are driving innovation in HRO. However, privacy and security concerns remain challenges. Recruitment analytics, outsourcing agencies, and recruitment process outsourcing are market development opportunities. HR outsourcing trends include benefit administration outsourcing, learning services outsourcing, and workforce optimization. Other areas of focus include talent management, workforce diversity, and strategic workforce planning. HR outsourcing agreements should include a Service Level Agreement to ensure financial balance and prevent market distortion. HR software solutions, remote work solutions, and global workforce management are also gaining popularity. 

Organizations are facing an increasing challenge in managing the large amounts of data related to their human resources. To address this, more companies are turning to Human Resource Outsourcing (HRO) and advanced IT solutions, such as analytics. These tools provide valuable insights from structured data, enabling efficient recruitment of top talent. Analytical methods, like statistics and data science, are used to derive meaningful information from raw data. The adoption of HRO and analytics is growing as it streamlines HR processes and improves overall efficiency. 

Request Sample of our comprehensive report now to stay ahead in the AI-driven market evolution!

 Market Challenges

Human Resource Outsourcing (HRO) market refers to the practice of handing over HR functions to an external service provider or third-party organization. HR tasks such as performance management, appraisal systems, feedback mechanisms, recruitment, and payroll are outsourced for cost savings, improved efficiency, and reduced administrative burden. HRO is popular in sectors like IT and hospitality, where specialized expertise is required. Outsourcing agencies offer benefits like scalability, IT solutions (IoT, cloud computing, big data), and recruitment analytics. Challenges include privacy and security concerns, labor laws, and data security. HRO trends include digitization, recruitment automation, and workforce optimization. Services like Benefit Administration Outsourcing, Learning Services Outsourcing, and HR consulting are in demand. HRO market development opportunities exist in BSFI, healthcare, and global workforce management. However, financial imbalance and market distortion are potential risks. HR outsourcing also involves Service Level Agreements, succession planning, diversity and inclusion, and change management.Companies face a significant decision when choosing between managing HR functions in-house or outsourcing them. Each approach comes with distinct advantages and disadvantages. Outsourcing HR functions offers companies the benefit of focusing on their core competencies, while outsourcing agencies handle HR tasks. However, this dependence on external agencies may result in a loss of control, as they may not adhere to the same business standards or missions as the client organization. Additionally, outsourcing can lead to employee dissatisfaction due to changes in rules or demands from the outsourcing agency. These issues could potentially hinder the growth of the Human Resource Outsourcing (HRO) market during the forecast period.

Discover how AI is revolutionizing market trends- Get your access now!

Segment Overview 

This human resource outsourcing (hro) market report extensively covers market segmentation by  

End-userLarge EnterprisesSMEsServicePOBAOMPHRORPOLSOGeographyNorth AmericaEuropeAPACSouth AmericaMiddle East And Africa

1.1 Large enterprises-  Large enterprises with over 5000 employees collaborate with industry leaders from diverse organizations in the Americas, Europe, and Asia for human resource outsourcing (HRO). This collaboration drives innovation and encourages participation from various companies, expanding the market reach. The vibrant HRO ecosystem contributes significantly to the growth of the market, making it an attractive proposition for businesses during the forecast period. Enterprises leverage HRO services from these industry leaders to streamline HR functions and focus on core business activities.

Download a Sample of our comprehensive report today to discover how AI-driven innovations are reshaping competitive dynamics

Research Analysis

The Human Resource Outsourcing (HRO) market refers to the practice of engaging a third-party organization to manage HR tasks, including performance management functions, recruitment, benefit administration, learning services, and payroll processing. HRO offers specialized expertise, efficiency, scalability, and cost savings to businesses across various sectors, such as IT and hospitality. Technological advancements, including IoT, cloud computing, big data, social media, and digitization, are driving the growth of the HRO market. Recruitment analytics and outsourcing agencies leverage these technologies to streamline talent acquisition and improve employee engagement. Market development opportunities exist in industries undergoing industrialization, such as BFSI, where HRO can help manage complex HR processes and ensure compliance with regulations. A Service Level Agreement (SLA) is crucial in HRO to ensure quality and consistency in HR services. Benefit Administration Outsourcing, Learning Services Outsourcing, and Payroll Outsourcing are popular HRO services. HRO also offers opportunities for technological innovations like augmented reality to enhance employee training and development. Overall, HRO is a strategic solution for businesses seeking to optimize HR functions and focus on core competencies.

Market Research Overview

Human resource outsourcing (HRO) refers to the practice of handing over HR functions to an external service provider or third-party organization. HRO allows businesses to offload HR tasks such as performance management, recruitment, and payroll, among others, to specialized professionals. This approach offers cost savings, improved efficiency, and reduced administrative burden, making it increasingly popular in sectors like IT and hospitality. HRO providers leverage technological advancements like IoT, cloud computing, big data, and AI to offer scalable solutions. However, privacy and security concerns, market development opportunities, and industrialization trends shape the HRO landscape. Services like benefit administration outsourcing, learning services outsourcing, and payroll outsourcing are common. HRO also includes IT-enabled services like recruitment analytics, outsourcing agencies, and HR software solutions. The future of HRO lies in digitization, recruitment automation, and workforce optimization. Trends like remote work solutions, global workforce management, and workforce diversity are shaping the industry. HRO providers offer expertise in areas like talent management, onboarding and offboarding, workforce analytics, and HR consulting. HR outsourcing trends include strategic workforce planning, succession planning, diversity and inclusion, change management, and labor laws compliance.

Table of Contents:

1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation

End-userLarge EnterprisesSMEsServicePOBAOMPHRORPOLSOGeographyNorth AmericaEuropeAPACSouth AmericaMiddle East And Africa

7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix

About Technavio

Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/

View original content to download multimedia:https://www.prnewswire.com/news-releases/human-resource-outsourcing-hro-market-size-to-grow-by-usd-14-1-billion-2025-2029-digitization-boosts-the-market-report-on-how-ai-is-redefining-market-landscape—technavio-302368521.html

SOURCE Technavio

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Technology

Finastra simplifies trade finance with AI-powered assistant using Microsoft Azure OpenAI Service

Published

on

By

Assist.AI boosts efficiencies and bridges the knowledge gap in trade finance, enabling banks to focus on strategic projects

LONDON, Feb. 10, 2025 /PRNewswire/ — Finastra today announced the launch of Assist.AI, an AI-powered assistant designed to enhance the trade finance operations within its Trade Innovation solution. The tool, built on architecture powered by Microsoft Azure OpenAI Service, bridges the knowledge gap in the trade finance industry, providing users with instant, accurate, and context-aware assistance.

The trade finance industry faces significant challenges, including a diminishing knowledge base and a widening disparity between seasoned professionals and new entrants. Assist.AI addresses these issues by offering prompt-based assistance, allowing users to interact with the tool by entering specific questions related to trade processes. This ensures that users receive precise answers sourced from relevant resources without the need to sift through extensive documentation.

Assist.AI offers Trade Innovation users the following benefits:

Enhanced user support: Provides instant, accurate, and context-aware assistance, significantly improving the user experience.24/7 availability and efficiency: Ensures users can access support anytime, boosting efficiency by automating routine inquiries and freeing up valuable time for more strategic tasks.Continuous improvement and adaptability: The solution learns and adapts based on interactions, ensuring ongoing relevance and continuous improvement in responses.

“This timely and much needed solution represents a significant leap forward in our commitment to advancing Open Finance and leveraging AI technology to solve real-world challenges in financial services. By providing instant assistance to bank employees, we are empowering our clients to navigate the complexities of trade finance with greater ease and efficiency,” said Andrew Bateman, EVP Lending at Finastra.

Finastra identified a significant talent gap in the trade finance industry through interactions with various clients. As experienced staff retire or transition to other careers, banks need to invest in training new staff on the latest developments in trade finance and the use of Trade Innovation. Assist.AI uses Microsoft Copilot technology to facilitate this training and support, making it a timely and essential addition to the industry.

“We are pleased to work with Finastra to make trade finance simpler and more efficient for banks worldwide. Using the robust capabilities of Microsoft Azure, this solution exemplifies the power of AI in enhancing operational efficiency and user experience,” said Bill Borden, Corporate Vice President of Worldwide Financial Services at Microsoft.  “This collaboration not only showcases our shared vision for the future of financial technology, but also strengthens the long-standing relationship between Microsoft and Finastra. Together, we are committed to driving innovation and empowering businesses to achieve more through cutting-edge technology.”

Assist.AI is a global solution, available to users of Finastra Trade Innovation worldwide. To learn more, visit Finastra’s website.

finastra.com

About Finastra
Finastra is a global provider of financial services software applications across Lending, Payments, Treasury and Capital Markets, and Universal (retail and digital) Banking. Committed to unlocking the potential of people, businesses and communities everywhere, its vision is to accelerate the future of Open Finance through technology and collaboration, and its pioneering approach is why it is trusted by ~8,100 financial institutions, including 45 of the world’s top 50 banks. For more information, visit finastra.com.

Logo: https://mma.prnewswire.com/media/2615478/FINASTRA_Logo.jpg

View original content:https://www.prnewswire.co.uk/news-releases/finastra-simplifies-trade-finance-with-ai-powered-assistant-using-microsoft-azure-openai-service-302371441.html

Continue Reading

Technology

RedotPay Partners with StraitsX and Visa to Revolutionise Digital Spending

Published

on

By

RedotPay is excited to announce its collaboration with Visa and StraitsX to launch a groundbreaking card programme in Singapore. This initiative aims to redefine how users interact with their digital assets in everyday transactions by combining RedotPay’s innovative technology with Visa’s extensive global payment network.

SINGAPORE, Feb. 10, 2025 /PRNewswire-PRWeb/ —

Partnership to Facilitate Launch of Crypto Credit Card for Seamless Transactions

Singapore, 10 February 2025 RedotPay, a leading provider of crypto payment solutions, is excited to announce its collaboration with Visa and StraitsX to launch a groundbreaking card programme in Singapore. This initiative aims to redefine how users interact with their digital assets in everyday transactions by combining RedotPay’s innovative technology with Visa’s extensive global payment network. The collaboration is made possible through the essential support of StraitsX as the BIN sponsor for the card programme.

Seamless Transactions

The new card programme will empower users to spend their cryptocurrencies effortlessly across millions of Visa-accepting merchants worldwide. With this innovative solution, users can utilise their cryptocurrencies directly, thanks to RedotPay’s proprietary real-time conversion technology. This feature bridges the gap between digital assets and traditional commerce, making crypto spending as seamless as using a conventional debit or credit card.

Compliance and Security

RedotPay is committed to providing users with a secure and trustworthy platform for their transactions. The partnership emphasises robust security measures to protect user data and funds, fostering confidence in the use of cryptocurrencies for everyday purchases.

Enhancing User Experience

“We are thrilled to partner with Visa and StraitsX to bring this innovative card program to Singapore,” said Michael, CEO of RedotPay. “This collaboration marks a significant step forward in our mission to make crypto payments accessible and user-friendly, promoting the mass adoption of cryptocurrencies in payment systems. Our users will enjoy the flexibility of spending their digital assets just like traditional currency.”

Jason Tay, Head of Commercial at StraitsX said, “We are excited to support RedotPay in launching this innovative card program in Singapore. This partnership is a game changer for everyday retail use cases, enabling users to easily leverage their digital assets for daily transactions. As the BIN sponsor, StraitsX is dedicated to powering this initiative, which will transform how consumers interact with cryptocurrencies in the retail space. By combining our technology with Visa’s vast network, we are making it easier than ever for users to seamlessly integrate digital assets into their everyday spending.”

“Based on a Visa study, close to six in 10 consumers in Singapore are aware of cryptocurrencies. In fact, over 35 per cent of cryptocurrency owners in Singapore use cryptocurrencies for retail purchases.[1] We are happy to support our partners who are helping more cryptocurrency users have a more seamless payment experience and access to digital payments leveraging on their Visa cards for face-to-face or online transactions. Visa is committed towards promoting innovation with our valued partners and this initiative with RedotPay and StraitsX aligns with our vision to become the best way to pay and be paid,” said Adeline Kim, Visa Country Manager for Singapore & Brunei.

Looking Ahead

The RedotPay card program is set to soft launch later this year, featuring a user-friendly interface designed for both convenience and security. Users will have the ability to manage their crypto assets easily, making everyday spending as simple as swiping a card.

About RedotPay

RedotPay is a leading crypto payment company, headquartered in Hong Kong, eligible to operate across various Asian, European and other jurisdictions. Their mission is to enable crypto adoption as a medium of exchange, increase payment efficiency with blockchain, and promote financial inclusion for the unbanked. Through intuitive interfaces and proprietary blockchain technology, RedotPay simplifies crypto transactions while prioritizing enterprise-grade security. The platform enables seamless integration of digital assets into everyday spending, ensuring accessibility and trust for both businesses and individuals.

For media inquiries, please contact: Press@RedotPay.com

About StraitsX

StraitsX is Southeast Asia’s leading digital payment infrastructure provider and a licensed Major Payment Institution regulated by the Monetary Authority of Singapore. Leveraging blockchain technology within a secure, regulated environment, StraitsX empowers businesses and individuals with innovative tools for managing funds, integrating digital assets, and enabling seamless cross-border transactions. Through partnerships with global financial institutions, businesses, and developers, StraitsX is driving the future of digital payments and financial connectivity.

1 Visa Green Shoots Radar: Study conducted across Asia Pacific markets, including 500 Singapore respondents in June 2023.

Media Contact

Jackee T. T. WONG, RedotPay, 1 85221290009, press@redotpay.com, https://www.redotpay.com/

View original content to download multimedia:https://www.prweb.com/releases/redotpay-partners-with-straitsx-and-visa-to-revolutionise-digital-spending-302371220.html

SOURCE RedotPay

Continue Reading

Technology

KBC Group renews collaboration with Cognizant to improve IT services and customer experience

Published

on

By

KBC Group and Cognizant celebrate over a decade of collaboration with a renewed agreement until 2027. Cognizant will provide various IT services, focusing on quality and cost-effectiveness.

BRUSSELS, Feb. 10, 2025 /PRNewswire/ — Cognizant (Nasdaq: CTSH) today announced the renewal of its relationship with KBC Group, a leading Belgian universal multi-channel bank-insurer.

This renewal of the agreement will extend until 2027, positioning Cognizant as KBC Group’s partner in supporting its IT and business transformation across the entire spectrum of IT services, including application development & maintenance, data services, infrastructure, and quality engineering.

“We are pleased to renew our agreement with Cognizant, as it supports our goals of creating superior customer experience, supporting innovation, and maintaining operational excellence,” said Isabel Van Mele, Chief Information Officer of KBC Bank & Insurance. “Cognizant’s ability to provide various IT services, focusing on quality, stability, and cost-effectiveness, makes it an important partner for KBC. We look forward to continuing our collaboration to achieve our organizational objectives.”

Cognizant and KBC Group have enjoyed a long-standing relationship for over 11 years, built on mutual trust, respect, and a proven track record. This agreement has been characterized by a collaborative spirit, seeking win-win solutions for both parties. The renewal of the relationship underscores the commitment of both organizations to continue bringing execution focus, innovative solutions and thought leadership to KBC Group. Cognizant’s existing team and service offerings are expected to enhance quality, ensure operational stability, foster innovation, and optimize cost-effectiveness for KBC Group.

“We are honored to extend our partnership with KBC Group,” said Geert Lejon, Country Manager, Belgium & Luxembourg at Cognizant. “Our extensive experience in delivering a wide range of IT services has been crucial in helping KBC achieve its objectives over the past eleven years. Our team is excited to continue this work and further enhance our collaboration.”

About Cognizant

Cognizant (Nasdaq: CTSH) engineers modern businesses. We help our clients modernize technology, reimagine processes and transform experiences so they can stay ahead in our fast-changing world. Together, we’re improving everyday life. See how at www.cognizant.com or @cognizant.

About KBC Group

KBC is one of the leading financial groups in Europe. It is a multi-channel bank-insurance group with a geographic focus on Europe, catering mainly to retail clients, SMEs and local midcaps. The group occupies significant, and in many cases leading positions in its core markets of Belgium, Czech Republic, Bulgaria, Hungary and Slovakia. The KBC group has also selectively established a presence in a number of other countries and regions around the world.

KBC Group employs around 41000 staff and caters for about 13 million clients in its core markets. KBC Group NV is listed on Euronext Brussels (ticker symbol ‘KBC’).

For more information, contact: GlobalCommunications@cognizant.com 

View original content to download multimedia:https://www.prnewswire.com/news-releases/kbc-group-renews-collaboration-with-cognizant-to-improve-it-services-and-customer-experience-302371525.html

SOURCE Cognizant Technology Solutions

Continue Reading

Trending