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Indian IT-BPM sector is growing 3-times higher than the world; Here’s Why

The information technology and business process management (or IT-BPM) industry is expected to grow at a phenomenal clip in 2022-23. A report suggested that the industry will add over three lakh jobs, and the total number of employees will go up to 5.45 million from 5.1 million.

The report, The Digital Employment Outlook, by the leading human resource company TeamLease, stated that IT-BPM would continue to be the high-growth industry in the country. IT-BPM hires the highest number of employees in private industries and has a total workforce of 3.9 million professionals. Its contribution to the GDP was around 7.4% in FY 2022, which is expected to grow to 10% by 2025.

The IT-BPM industry’s crown jewel of the Indian economy also amounts to 55% of the global outsourcing market. The report stated that with more companies adopting Digi-tech, the demand for tech talent would only increase. Overall, the number of tech-related jobs will grow by another 5-10 million over the next few years.

There is a flip side to this uptrend as the attrition rate is high and expected to go up from 49% to 50-55% among contract workers. But the contractual gender diversity is expected to grow from the present 20% to 25% in FY23. The trend has been seeing an uptick over the last decade, and apart from gender diversity, inclusion has been the focus of companies in the IT-BPM sector. Performance indicators showed that diversity and inclusion had augmented business performance.

On a high already, the IT-BPM sector to grow further

The sector is also growing phenomenally with the option of working from home or anywhere. With employees shifting to Tier2 and Tie3 cities, the effects of the industry are reaching even urban spaces with just over 1 million population. As these towns are close to metro cities that boast of excellent digital infrastructure and connectivity, the effects of the industry are expected to percolate down and trigger economic development in the hinterlands of the country,

Nasscom, in a report, stated that FY22 was a phenomenal year for the IT-BPM sector as it clocked over $200 billion in total revenues and the workforce crossed 5 million.

By adopting BPM, industries can improve and automate their processes with the latest technologies like AI and MI. This will allow them to analyze humongous amounts of data to help them with business strategies.