Global Procure-To-Pay Outsourcing Market 2016-2020

.Overview of the global procure-to-pay (P2P) outsourcing market

Technavio’s market research analyst predicts the global procure-to-pay outsourcing market to grow at a CAGR of almost 16% by 2020. Organizations are increasingly adopting P2P outsourcing solutions to reduce their operational expenses. The procurement managers are facing challenges in the effective management of P2P processes due to the increased complexities and manual errors in the supply chain systems. P2P outsourcing helps firms to gain access to local talent, advanced technologies, and skilled workforces within economical costs. Moreover, the BPO services help clients to enhance their operations through efficient supply chain management (SCM) systems and streamlined core business processes. The growing requirements for cost reduction and the increasing focus on core competencies have propelled enterprises to avail P2P outsourcing.

One of the latest trends gaining grounds in this market is the emergence of mobile P2P technology. Organizations are adopting mobile solutions to manage the end-to-end procurement process and SCM procedure for transactions. Mobile solutions provide convenient payment solutions with added features such as purchasing management and order tracking facilities. Also, the additional functionality in the mobile devices helps procurement professionals to communicate effectively with suppliers in real time. Several IT solution providers in the market are developing end-to-end procurement outsourcing software solutions in the form of mobile applications that can be installed on iOS and Android platforms.

Competitive landscape and key vendors

The market is dominated by a few large vendors who distinguish their products with innovative and high-quality services. Several companies in the market are opting for automation of processes, simplification of the IT environment, and development of an economical cost structure which will be beneficial in creating a favorable spending environment for procurement outsourcing during the forecast period. Competition in the procure to pay market will intensify with the emergence of new players who offer specific P2P solutions such as cloud-based procurement solutions to grab P2P outsourcing deals.

Leading vendors in the market are -

• Accenture
• Capgemini
• IBM
• GEP
• Infosys
• TCS

Other prominent vendors in the P2P outsourcing market include Aegis, Corbus, Genpact, HCL Technologies, HP, Optimum Procurement, Proxima, Synise Technologies¸ WNS, and Xchanging.

Segmentation by end-user and analysis of the P2P outsourcing market

• Manufacturing
• BFSI
• Telecom
• Energy and utilities
• Healthcare

During 2015, the manufacturing sector dominated the P2P outsourcing market and accounted for around 22% of the total market share. Owing to the unorganized and disseminated distribution systems in the global markets, several manufacturing firms and original equipment manufacturers (OEMs) outsource their procurement functions. P2P solutions help organizations to reduce their supply chain risks and expenses by integrating advanced analytical solutions in the procurement process. Vendors are using analytical solutions in the procurement planning process to increase the accuracy and detect fraudulent activities in the manufacturing processes.

Geographical segmentation and analysis of the P2P outsourcing market

• Americas
• APAC
• EMEA

The Americas was the largest revenue contributor in the P2P outsourcing market in 2015 and occupied more than 46% of the overall market share. Much of the region’s growth can be attributed to the highest number of P2P outsourcing deals signed owing to the increasing P2P outsourcing activities in the government as well as in private sector organizations. Several leading financial services in the region are outsourcing their procurement solutions to get access to advanced technologies such as procurement analytics services. This will have a positive influence on the procure to pay market size.

 Key questions answered in the report include

• What will the market size and the growth rate be in 2020?
• What are the key factors driving the global P2P outsourcing market?
• What are the key market trends impacting the growth of the global P2P outsourcing market?
• What are the challenges to market growth?
• Who are the key vendors in the global P2P outsourcing market?
• What are the market opportunities and threats faced by the vendors in the global P2P outsourcing market?
• Trending factors influencing the market shares of the Americas, APAC, and EMEA.
• What are the key outcomes of the five forces analysis of the global P2P outsourcing market?

Technavio also offers customization on reports based on specific client requirement.

Related reports:

• Global S2P Outsourcing Market 2015-2019