Healthcare business process outsourcing allows healthcare facilities to contract their non-core activities to an external party and focus on their core competencies. Growth of this market is attributed to the growing outsourcing in the pharma and biopharma industries, need to curtail the escalating healthcare costs, rising demand for niche services (including care management and fraud detection services), and the need for structured processes and documentation in the healthcare industry.
The healthcare BPO market is projected to reach USD 468.5 billion by 2026 from an estimated USD 296.4 billion in 2021, at a CAGR of 9.6%.
Access Sample Copy of the Report @ https://www.marketsandmarkets.com/requestsampleNew.asp?id=472
Drivers: Pressure to reduce the rising healthcare costs
Cost savings form an important consideration in outsourcing, as by doing so, companies can reduce costs on resource management, labor, and space. There is pressure on the margins of healthcare payers due to the rise of health insurance exchanges (online marketplaces to obtain health insurance from competing providers) in the US. This enables consumers to obtain coverage from competing private healthcare providers and is likely to accelerate the adoption of outsourcing to rationalize costs.
Restraints: Hidden outsourcing costs
Improper planning and financial allotment for outsourcing activities often lead to a negative impact on cost savings and the business value that can be derived from outsourcing. Companies planning finances while outsourcing their business processes fail to take into account unforeseen costs, such as those incurred while evaluating and selecting a vendor, managing offshore contracts, process transition and enhancing security and severance pay for employees.
Opportunities: Growing adoption of artificial intelligence-based tools for drug discovery
Artificial intelligence and machine learning, in particular, make the drug discovery process more efficient and substantially improve success rates at the early stages of drug development. This will help healthcare BPO service providers to bring about major breakthroughs, as artificial intelligence also plays an important role in the discovery of drugs for chronic diseases such as cancer. Owing to its capabilities, AI significantly reduces the time taken to bring a cancer-combatting drug to the market, which will lead to significant growth in the healthcare BPO services market.
Challenges: Data security concerns
In healthcare, approximately one-third of data breaches result in medical identity theft mainly due to a lack of internal control over patient information, lack of top management support, outdated policies and procedures or non-adherence to existing ones, and inadequate personnel training. This makes patient confidentiality a major challenge in the healthcare industry. As per the National Center of Biotechnology Information (NCBI), in 2018, the number of data breaches reported was 2,216 from 65 countries. Out of these, the healthcare industry faced 536 breaches (the highest number of breaches among all industries). The average cost of a data breach in 2019 was USD 3.92 million, while a healthcare data breach typically costs USD 6.45 million.
North American healthcare BPO market to register the largest and highest growth from 2021 to 2026
North America dominated the healthcare BPO market, with a share of 48.6% in 2020, and is expected to register the highest CAGR of 10.6% during the forecast period. The large share of the North American market can be attributed to the increased pressure to reduce healthcare costs and improve services and changing government regulations in the healthcare industry.
Some of the prominent players operating in the Healthcare BPO market are Accenture (Ireland), Cognizant (US), Tata Consultancy Services (India), Xerox Corporation (US), WNS (Holdings) Limited (India), NTT Data Corporation (Japan), IQVIA (US), Mphasis (India), Genpact (US), Wipro (India), Infosys BPM (India), Firstsource Solutions (India), IBM Corporation (US), HCL Technologies (India), Sutherland Global (US), GeBBS Healthcare Solutions (US), Lonza (Switzerland), Omega Healthcare (India), R1 RCM (US), Invensis Technologies (India), UnitedHealth Group (US), Sykes Enterprises (US), Parexel International (US), Access Healthcare (US), and Akurate Management Solutions (US), among others
Download PDF Brochure: @ https://www.marketsandmarkets.com/pdfdownloadNew.asp?id=472
Don’t miss out on business opportunities in Healthcare BPO Market. Speak to our analyst and gain crucial industry insights that will help your business grow.
MarketsandMarkets™ provides quantified B2B research on 30,000 high growth niche opportunities/threats which will impact 70% to 80% of worldwide companies’ revenues. Currently servicing 7500 customers worldwide including 80% of global Fortune 1000 companies as clients. Almost 75,000 top officers across eight industries worldwide approach MarketsandMarkets™ for their painpoints around revenues decisions.