Business Process Management Market Size, Share & Trends Analysis Report By Solution (Automation, Process Modelling), By Application, By Deployment, By End-user, By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global business process management market was valued at USD 12.18 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 19.8% from 2022 to 2030. An increase in the adoption of cloud-based BPM software is one of the major factors driving the growth of the BPM market. Cloud-based BPM is much more effective than traditional BPM in terms of offering a flexible IT environment. BPM solutions, available as SaaS in the cloud, require no installation and maintenance and provide full software capabilities. SaaS-based BPM platforms strengthen business units attributed to low code functionality, which also had its share in driving the use of the cloud-based BPM market by deployment.

Another major factor driving the growth of the BPM market is its increasing adoption the emerging economies, especially in countries like India, which has favorable government policies and a growing IT industry. As of February 2022, according to the India Brand Equity Foundation (IBEF), the BPM sector of India employs more than 1.4 million people, and it is one of the preferred destinations for BPM in the world and had 52% market share in the export of services in 2020. The country is also home to BPM providers such as Infosys Limited and Tata Consultancy Services Limited, among others. A similar case is also found in the Philippines, which has a competitive IT infrastructure and favorable government policies in terms of tax benefits. Thus, a significant percentage of the growth of the BPM market can be attributed to BPM adoption in emerging economies.

Security concerns are a significant aspect of decelerating the BPM market. BPM is vulnerable to a wide variety of cyberattacks which includes malware, data theft, and hacker attacks, among others; such an incident will be catastrophic for business as it would negatively impact the company’s reputation. BPM software with an added layer of protection has a lower efficiency in terms of delivery speed than BPM software with a lower layer of protection. Better delivery speed is attracting business towards BPM software with lesser security levels. However, this is a dangerous way to move ahead with an increase in data breaches resulting in financial loss to businesses. For instance, according to the Global DNS Threat Report 2020, Security breaches cost an average of USD 924,000 annually.

Integrating advanced technologies such as machine learning and artificial intelligence with BPM software enhances decision-making capabilities, and predictive analysis, ensuring compliance and security. Companies such as SAP SE, Infosys Limited, BP Logix, Inc., etc., offer BPM software incorporated with ML and AI technologies. Another key technology that has paved its way into BPM software is RPA (Robotic Process Automation); the combination enables the restructuring of the workforce, speeds up tasks, etc. For instance, in October 2020, Nintex Global Ltd. acquired K2 Software Inc, which has enabled the digital transformation of Nintex with RPA, workflows, and others. Many companies in the business process management market offer software incorporated with RPA, ML, AI, etc. This has further enhanced the capabilities of BPM, which has been a significant factor in the growth of the cloud endpoint management market.

The demand for BPM in sectors, especially in IT & Telecom and banking, is on the rise, primarily attributed to improved service quality, reduced costs, and flexibility, among others. For instance, according to the state of BPM by Signavio, 70% of the organizations implementing BPM aimed at improving productivity or reducing costs. Also, 60% of the organization had worked on more than one transformation project, and 36% mentioned they had worked on more than ten process transformation projects. Simplifying business operations has been a significant factor among various industries resulting in increased demand for BPM; however, as far as the banking industry is, concerned, the demand is much higher. For instance, a study conducted by IBM in 2021 revealed that more than 50% of the CEOs of financial organizations are focused on simplifying business operations to reduce complexity.

The COVID-19 pandemic had a positive impact on the business process management market. As the world started to adopt the new norm, the business was making extensive changes in business process management, including financial management methods, workflow updates, and many more. For instance, a report published by IBM in September 2020, named “COVID-19 and the future of business”. The report states that of the businesses surveyed, 59% of the companies have begun a digital transformation in response to disruptions in work caused by the COVID-19 pandemic.

Solution Insights

The automation segment of the business process management market by solution is expected to have the highest CAGR of 21.2% for the forecast period of 2022 to 2030. Also, this segment is projected to have a significant market share by 2030. Digitalization of workplaces, together with the automation of processes, has resulted in the growth of the automation segment.

Benefits of automation include reduced chances of mistakes, decreased operation costs, expanded productivity, reduced execution time, and improved internal communication. These factors are expected to have driven the growth of the automation segment of the business process management market. A significant number of companies in the BPM market that offer automation solutions have also been positively impacting the market's growth during the forecast period. Some companies of automation include Appian Corporation, Accenture, and Kissflow Inc.

Application Insights

Based on application, the IT segment is projected to have the highest business process management market share by 2030, also witnessing a high CAGR of 21.4% during the forecast period. The growth can be attributed to the BPM capabilities such as work streamlining, process visibility, and improved efficiency. The adoption of BPM in the IT segment can be majorly attributed to the increasing emphasis on operational excellence, and customer service, among others.

Workflow software enables timesaving, which is efficient work IT industry, considering the increasing demand for IT services across the globe. For instance, according to Nasscom, the Indian IT industry revenue had increased by 15.5% YoY in FY 2022, reaching USD 227 billion. The growing demand of the IT industry, and improved efficiency of using BPM, are expected to be a factor for the growth of the IT segment of the business process management market.

Deployment Insights

By deployment, the cloud-based segment of the market is projected to have the highest revenue share of 63.4% in 2021. Cloud-based BPM offers enhanced performance in areas such as performance, reduced error, data accuracy, process improvement, etc., compared to the on-premises BPM deployment method. Additionally, the cost-effectiveness of the Cloud-based BPM is another aspect that attracts businesses, especially SMEs, driving the growth of this segment.

Many cloud-based BPM providers, such as Genpact, Appian Corporation, IBM, and Kissflow Inc., have enabled customers to experience the benefits of the cloud-based deployment of BPM. The presence of cloud-based BPM providers in the market has also made the market competitive, resulting in a lower cost of cloud-based BPM. These aspects have driven the growth of cloud-based BPM software.

End-user Insights

The SME segment of the business process management market by end-user is expected to have the highest growth rate from 2022 to 2030. Zero/less requirement of equipment and technology previously used for completing tasks, especially while using cloud-based BPM, helps reduce costs, which has been a significant factor in the growth of the SME segment during the forecast period. According to the SBA Office of Advocacy, a high number of SME businesses in countries such as the U.S. is home to 31.6 million small-scale business. This large number of SMEs will act as a potential customer base, together with the reduced cost of cloud-based BPM, which is expected to trigger wider adoption of BPM among the SME segment of the business process management market by end-user.

Besides cost-effectiveness, BPM's significant attributes that attract SMEs are automating repetitive tasks, cutting down bottlenecks that cause inefficiencies, and streamlining business processes. All these aspects ensure that required criteria of business requirements are met, improving team communication and collaboration. These aspects have played a significant role in the growth of the SME segment of the business process management market during the forecast period.

Regional Insights

North American region is projected to have the highest revenue share of 38.7% in 2021. Data protection, enhancing productivity, etc., along with this region being home to some companies in the BPM market, including Appian Corporation, Genpact, International Business Machines Corporation, and Open Text Corporation, among others, has contributed to the growth of the region in the business process management market. North American region is also home to some of the world's major IT, BFSI, and healthcare firms, which have a high demand for BPM software.

North American region is home to major companies in various industries such as IT, banking, healthcare, insurance, etc. The U.S. alone contributed around 24% of the global GDP in 2021. Apart from BPM providers that are HQ'ed in North America, a large number of companies HQ'ed in other parts of the world are also having a significant presence in the region, such as Accenture, these aspects pertaining to the North America region are expected to drive the growth of this region in the business process management market during the forecast period.

Key Companies & Market Share Insights

BPM providers are engaged in multiple strategies, which include partnerships, mergers & acquisitions, and geographical expansion, to gain an advantage in the market. For instance, in April 2022, Software AG partnered with Noname Security, Salt Security, and Sequence Security to improve API security capabilities. All the security companies are based in the U.S. and engaged in the API security market; partnering with these firms would help Software AG address API security issues.

Companies are also partnering with resellers to address the growing demand for BPM. For instance, in March 2021, Nintex announced Desktop Imaging as their reseller partner in New Zealand, aimed at catering to the demand for process management and process automation in the country. The acquisition is another strategy adopted by BPM providers to enhance their product portfolio; for instance, in March 2021, SAP SE acquired Signavio, which enabled products offered by Signavio, including BPM, to be included in the product portfolio of SAP. Such a wide array of strategies adopted by BPM providers will drive the growth of the market. Some of the prominent players in the business process management market include:

• Accenture

• Appian Corporation

• Infosys Limited

• International Business Machines Corporation

• Open Text Corporation

• Kissflow Inc.

• Nintex Global Ltd

• Software AG

• Tata Consultancy Services Limited

• Pegasystems Inc.

• Red Hat, Inc.

• SAP SE

• BP Logix, Inc.

Business Process Management Market Report Scope

Global Business Process Management Market Segmentation

The report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global business process management market report on the basis of solution, application, deployment, end use, and region:

• Solution Outlook (Revenue, USD Million, 2018 - 2030)

  • Automation

  • Content & Document Management

  • Process Modelling

  • Content & Document Management

  • Monitoring & Optimization

  • Integration

  • Others

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • BFSI

  • IT

  • Retail

  • Manufacturing

  • Healthcare

  • Government & Defense

  • Others

• Deployment Outlook (Revenue, USD Million, 2018 - 2030)

  • Cloud

  • On-premise

• End-use Outlook (Revenue, USD Million, 2018 - 2030)

  • SMEs

  • Large Enterprise

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • U.K.

    • Germany

    • Rest of Europe

  • Asia Pacific

    • China

    • India

    • Japan

    • Rest of Asia Pacific

  • Latin America

    • Brazil

    • Mexico

    • Rest of Latin America

  • Middle East & Africa (MEA)