Alex
Welcome to the Deep Dive. Today, we’re going to be diving into the world of business process management in India.

AIvanna
Oh, yeah.

Alex
You sent us this report from NASSCOM and Indeed. And it’s not really about BPM basics or any of that stuff.

AIvanna – Yeah.

Alex
We’re going way beyond that to see how this whole industry is transforming and why you listening should even care about this.

AIvanna
This is definitely a hot topic.

Alex
Yeah.

AIvanna
And this report, like, fresh off the presses.

Alex
I know.

AIvanna
October 2024.

Alex
It’s new.

AIvanna
So new. So we’re talking like the latest data insights, not just theory.

Alex
Right.

AIvanna
This is real companies making real moves.

Alex
Yeah, for sure.

AIvanna
In this space.

Alex
I think before we even get into like the nitty gritty, you know, one figure from the overview really just like stood out to me.

AIvanna
Yeah.

Alex
The Indian BPM industry reached almost $49 billion in FY24, which is just a huge number. And what makes that number even more impressive to me is that almost 90% of it came from exports.

AIvanna
Oh, wow.

Alex
So it’s not just serving the Indian market. This is like.

AIvanna
It’s a global powerhouse.

Alex
A global powerhouse.

AIvanna
Yeah.

Alex
Yeah. What does that even tell us about the reach and impact of.

AIvanna
I think it really highlights how competitive and capable this industry has become. They’re not just offering basic services anymore.

Alex
Right.

AIvanna
It’s sophisticated solutions.

Alex
Yeah.

AIvanna
Clients worldwide.

Alex
For sure.

AIvanna
And that actually brings us to like a key shift that this report identifies.

Alex
OK.

AIvanna
Which is the move from, you know, simple process management to like full on business transformation.

Alex
I did notice that the report didn’t like.

AIvanna
Yeah.

Alex
Assume that we all know BPM inside and out.

AIvanna
Right.

Alex
You know. So for those maybe who are unfamiliar.

AIvanna
Sure.

Alex
Can you just give us like a really quick breakdown of what BPM is.

AIvanna
Absolutely.

Alex
How it’s evolving.

AIvanna
So at its core BPM is all about making business processes more efficient and effective. And traditional this meant things like automating tasks.

Alex
Right.

AIvanna
Streamlining workflows improving data management.

Alex
OK.

AIvanna
You can almost think of it as like fine tuning the engine of a car.

Alex
OK.

AIvanna
But now BPM has like evolved.

Alex
Yeah.

AIvanna
It’s about taking that well tuned engine.

Alex
Yeah.

AIvanna
And using it to build a whole new vehicle.

Alex
Oh.

AIvanna
Companies are using BPM to rethink their entire business models optimize their customer experiences and drive innovation.

Alex
So it’s not just about doing things, right.

AIvanna
Right.

Alex
It’s about doing the right thing.

AIvanna
Exactly.

Alex
Period. Yeah.

AIvanna
Yeah.

Alex
The report had this case study of a luxury retail brand that overhauled its operations.

AIvanna
Right.

Alex
Using BPM.

AIvanna
Yeah.

Alex
And it led to a 20 percent boost in customer satisfaction.

AIvanna
Wow.

Alex
And a 10 percent jump in profitability.

AIvanna
That’s huge.

Alex
That’s some serious results.

AIvanna
Yeah.

Alex
I mean do you think this example shows a trend across different types of businesses.

AIvanna
It definitely highlights the potential. And what’s interesting is that the report also shows that technology adoption varies across different business functions.

Alex
OK.

AIvanna
So for example finance and accounting they’re kind of leading the way. While areas like HR operations and supply chain they’re catching up fast.

Alex
Yeah.

Alvanna
So for anyone listening in those fields you know this is like an opportunity to get ahead of the curve.

AIex
It’s like they’re saying get on board or get left behind.

Alvanna
Exactly.

AIex
Yeah. And speaking of getting on board.

Alvanna
Yeah.

AIex
There’s one technology that’s like really driving this whole transformation generative AI.

Alvanna
Generative AI.

AIex
It’s everywhere.

Alvanna
It is.

AIex
But the report suggests that it’s having like a really profound impact.

Alvanna
Yeah.

AIex
On BPM. So I’m curious beyond the hype.

Alvanna
Right.

AIex
How is Gen AI actually changing the game in this space.

Alvanna
So Gen AI is changing BPM in a couple of key ways.

AIex
OK.

Alvanna
First it’s transforming the way services are priced and delivered.

AIex
OK.

Alvanna
And we’re also seeing this emergence of what they’re calling micro verticals which are highly specialized solutions tailored to specific needs within a broader industry.

AIex
OK.

Alvanna
And this level of customization.

AIex
Yeah.

Alvanna
It just wouldn’t be possible without Gen AI’s ability to analyze vast amounts of data and identify subtle patterns.

AIex
So instead of like a one size fits all approach.

Alvanna
Right.

AIex
It’s like BPM is becoming a bespoke tailor.

Alvanna 
Exactly

Alex
Crafting solutions for like very specific needs.

AIvanna
That’s a great way to put it.

Alex
Yeah. And the second major impact is the way Gen AI is being used to augment human capabilities.

AIvanna
Right.

Alex
And this is especially evident in contact centers and back office functions.

AIvanna
Yes.

Alex
Let’s break those down one by one.

Alvanna
OK.

Alex
The report mentions that by 2025.

Alvanna 
Yeah.

Alex
A staggering 81% of contact centers.

AIvanna
Wow.

Alex
Will be using Gen AI.

AIvanna
That’s a huge number.

Alex
That’s a huge number.

AIvanna
Yeah.

Alex
But how is this going beyond like the basic chat bots we’re used to seeing.

AIvanna
It’s about creating truly personalized experiences.

Alex
OK.

AIvanna
You know imagine a world where AI can analyze a customer’s history predict their needs and even tailor like the language and the tone of the interaction based on their personality.

Alex
Oh wow.

AIvanna
It’s about empowering those agents with real time information and guidance making them more efficient and effective. And it’s also about using AI to proactively identify and address potential issues before they even become problems.

Alex
It’s like having a crystal ball for customer service.

AIvanna
It is.

Alex
But what about those back office functions.

AIvanna
Right.

Alex
I think a lot of people still picture those as you know rooms full of people.

AIvanna
Yeah.

Alex
Pushing paper.

AIvanna
Pushing paper.

Alex
How is Gen AI changing that image.

AIvanna
So you know how you picture those rooms full of people pushing paper.

Alex
Yeah.

AIvanna
Gen AI is taking those tasks.

Alex
OK.

AIvanna
And it’s not just automating them away.

Alex
Right.

AIvanna
It’s using them to like create a more strategic approach.

Alex
Interesting. It sounds like Gen AI is taking those back office tasks and instead of just automating them away it’s using them to create a more strategic approach.

AIvanna
That’s exactly right. Gen AI is being applied to things like you know knowledge management financial processes even complex supply chain tasks. It’s about freeing up those human employees to focus on that higher value work. That requires creativity and problem solving.

Alex
Yeah. The report had this great case study about a global e-commerce giant that used Gen AI to revamp their customer support.

AIvanna
Oh yeah.

Alex
And they saw a 20 percent jump in revenue.

AIvanna
Wow.

Alex
And a 25 percent cost reduction.

AIvanna
That’s incredible.

Alex
That’s incredible. It really shows how these changes aren’t just about efficiency. You know.

AIvanna
Right.

Alex
They’re about creating real business value.

AIvanna
Yeah. Yeah.

Alex
But all of this raises the question for our listeners.

AIvanna
Yeah. Sure.

Alex
If the BPM industry is changing so rapidly what does it mean for their careers?

AIvanna
That’s a great question. And the report actually highlights how the traditional BPM org chart is being like completely reshaped. You know that operational level where a lot of those repetitive tasks happen.

Alex
Right.

AIvanna
That’s actually shrinking. But the middle management layer that’s expanding with a surge in like these specialist roles.

Alex
So it’s not that jobs are disappearing it’s that they’re evolving.

AIvanna
Exactly.

Alex
What kind of specialist roles are we even talking about here?

AIvanna
Yeah.

Alex
The report mentioned some pretty futuristic sounding titles.

AIvanna
Yeah. So we’re seeing roles like AI ethics officer.

Alex
OK.

AIvanna
Digital supply chain transformation manager. Even AI talent acquisition strategist.

Alex
Wow.

AIvanna
These roles require a unique combination of technical skills, industry knowledge, and strategic thinking.

Alex
It sounds like the BPM industry is becoming like a breeding ground.

AIvanna
It is.

Alex
For some seriously cutting edge careers.

AIvanna
It really is.

Alex
So for someone listening who wants to stay ahead of the curve, what skills should they be focusing on?

AIvanna
The report emphasizes a few key areas.

Alex
OK.

AIvanna
Of course there’s data analysis and AI fluency. Understanding how AI works its limitations and how to apply it ethically.

Alex
Right.

AIvanna
But it’s not just about the technical skills.

Alex
I was going to say it can’t all be about algorithms and code.

AIvanna
No. Those uniquely human skills like communication, emotional intelligence, flexibility are becoming even more valuable. You know.

Alex
Yeah.

AIvanna
AI can process information, but it can’t replicate human empathy or adaptability.

Alex
Right. It’s interesting almost like AI is pushing us to become more human in the workplace.

AIvanna
Yeah.

Alex
You know, I think we’ve all had those frustrating experiences with chatbots or automated systems that just don’t get it.

AIvanna
Exactly.

Alex
And this shift isn’t just impacting individual roles. It’s changing how BPM companies themselves operate.

AIvanna
Yeah.

Alex
The report uses this phrase partners in innovation.

AIvanna
Oh, yeah.

Alex
Which really caught my attention. What does that even mean in practice?

AIvanna
It means that BPM providers are no longer just vendors who execute tasks. They’re becoming like strategic advisors working collaboratively with clients to solve complex problems using technology.

Alex
So it’s less transactional.

AIvanna
Right.

Alex
And more about building like long term partnerships.

AIvanna
Exactly.

Alex
I’m curious with all this talk of change and disruption, is there a risk of getting caught up in the hype? How can our listeners separate the signal from the noise when it comes to AI’s impact on BPM?

AIvanna
That’s a good point. It’s important to stay grounded. You know, AI is a powerful tool, but it’s not a magic solution.

Alex
Right.

AIvanna
It needs to be used strategically in conjunction with human expertise to achieve those specific business objectives.

Alex
Yeah.

AIvanna
It’s about understanding where AI can create real value and where it might fall short.

Alex
So it’s about having a realistic understanding of AI’s capabilities.

AIvanna
Yes.

Alex
And limitations.

AIvanna
Yeah.

Alex
And it sounds like this is an ongoing journey.

AIvanna
It is.

Alex
It’s not a destination. The BPM industry will continue to evolve.

AIvanna
Absolutely.

Alex
And so will the skills that are in demand.

AIvanna
Absolutely. It’s about continuous learning, staying curious, and being willing to adapt, you know?

Alex
Right.

AIvanna
It’s an exciting time to be in this field because we’re not just observing these transformations, we’re participating in them.

Alex
That’s a great point. Okay, so we’ve covered like a lot of ground in this deep dive. You know, we’ve seen how the Indian BPM industry is like shifting from just managing processes to like actually driving transformation. How Gen AI is completely like reshaping this whole landscape.

AIvanna
Yeah.

Alex
What skills you even need to thrive in this new world.

AIvanna
Right.

Alex
But before we wrap up, I kind of wanted to like zoom out and think about the bigger picture here.

AIvanna
Sure.

Alex
You know, this report obviously focuses on India. But these trends have like implications for businesses and individuals like everywhere, right?

AIvanna
Absolutely. Technology is transforming the way we work.

Alex
Yeah.

AIvanna
And those who embrace change and develop new skills will be the ones who succeed no matter where they are.

Alex
Right.

AIvanna
Remember that phrase from the report, Partners in Innovation

Alex
Oh, yeah.

AIvanna
That concept goes way beyond India’s borders.

Alex
It definitely like struck me as something worth exploring further.

AIvanna
Yeah.

Alex
What does this idea of BPM providers becoming like partners in innovation even mean for companies that might not even be thinking about BPM yet?

AIvanna
It signals a blurring of lines between industries. You know, BPM providers are developing this deep expertise in specific domains, leveraging technology to tackle problems that were once the sole territory of like traditional consulting firms.

Alex
Right.

AIvanna
This creates a whole new range of possibilities for businesses of all sizes.

Alex
So it’s like BPM is becoming an entry point for innovation.

AIvanna
Yeah.

Alex
You know, companies can tap into this cutting edge tech and expertise without having to build everything from scratch.

AIvanna
Exactly. And for individuals, the skills gained in the BPM space are transferable. You know, data analysis, understanding AI, thinking critically about process optimization.

Alex
Yeah.

AIvanna
These are valuable skills across industries touched by technology. And those human skills we discussed, communication, emotional intelligence, adaptability, they become even more crucial as AI takes over those like routine tasks.

Alex
It’s like the more technology advances, the more we need to cultivate what makes us uniquely human.

AIvanna
That’s a great way to put it.

Alex
So as we wrap up this deep dive, what’s the one key takeaway you want our listener to like walk away with?

AIvanna
The report highlights the Indian BPM industry reaching almost $49 billion.

Alex
Right.

AIvanna
But here’s a question for you to consider.

Alex
Okay.

AIvanna – What’s the potential of your industry? What could you achieve by thinking differently about work, about leveraging technology for innovation and growth?

Alex
Yeah.

AIvanna
Start asking those questions.

Alex
That’s a fantastic point to end on. This deep dive has given us plenty to ponder and we encourage you to explore the NASSCOM report further.

AIvanna
Yes.

Alex
It’s packed with insights for anyone curious about the future of work.

AIvanna
Definitely.

Alex
Thanks for joining us on the deep dive.