Global Healthcare BPO Market By Provider Service (Revenue Cycle Management, Patient Enrolments, and Patient Care), By Payer Service (Claims Management, Product Development Business Acquisition (PDBA), Member Management and Others), and By Pharmaceutical Service (Manufacturing Services, Research & Development Services, and Non-Clinical Services), By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends, and Forecast 2023-2032

Report Overview

The Healthcare BPO market size is expected to be worth around USD 908 billion by 2032 from USD 362 billion in 2022, growing at a CAGR of 9.9% during the forecast period from 2023 to 2032.

Global Healthcare BPO market, the provider organization gives healthcare services to client organizations. It combines different business processes, labor, and technology services. It helps clients clarify and boost their processes & operations. It is a type of outsourcing that involves specific procedures and responsibilities of related business functions to a client service provider. Common BPO services include customer service, finance & accounting, human resources, payroll, marketing, and IT services.

Key Takeaways

• The Provider Service sector has emerged as the frontrunner, boasting the lion’s share of revenue generation throughout the projected period from 2023 to 2032.
• When it comes to payer services, the claim management service segment has firmly established its dominance in the market, exhibiting the most impressive Compound Annual Growth Rate (CAGR) between 2023 and 2032.
• In the sphere of Pharmaceutical Services, all eyes are on the research and development segment, which is poised for significant growth during the forecasted period.
• In the year 2022, North America exerted its influence as the market leader, capturing the largest slice of the revenue pie, commanding an impressive 47% share.
• Europe, on the other hand, held its ground with a respectable 25% revenue share in 2022.
• Asia-Pacific that steals the spotlight, expected to experience the swiftest CAGR growth from 2023 to 2032.

Provider Analysis

The Revenue Cycle Management Segment Dominates the Global Healthcare BPO Market as It Helps in Reducing the Length of Time for Payment, Managing Costs, and Improving Cash Flow.

The global healthcare BPO market is segmented based on provider services such as Revenue Cycle Management, Patient enrollments, and Patient Care.

Revenue Cycle Management (RCM) is a process that helps healthcare organizations handle their revenue sources and calculate their financial performance overall. It contains patient collections, billing & coding, claims management, and accounts receivable management. The process of patient enrolment in a healthcare program or service includes patient registration, eligibility verification, insurance authorization, and communication. This helps healthcare organizations to calculate the enrolment process and improve patient care.

Payer Service Analysis

The Claim Management Service Segment has Dominated the Market and is Growing at the Fastest CAGR Over the Forecast Period 2023 to 2032.

The global Healthcare BPO market is segmented according to payer services such as claims management, product development business acquisition (PDBA), member management, provider management, care management, integrated front-end services, back-office operations, billing and accounts management services, and HR services. The Claims management services contain claims processing, adjudication, and denial management. It also coordinates with third-party companies and other providers to confirm accurate payment.

The Product development business acquisition (PDBA) services require the development and applications of new products and services to having the needs of payers and providers. Member management services include coordination of member benefits, enrollment, and eligibility verification. Provider management services involve credentialing, contracting, and claims adjudication.

Care management services include utilization management and disease management. Integrated front-end and back-office operations involve data entry, collection, coding and billing, and customer service. The billing and accounts management services include accounts receivable and accounts payable management.

Pharmaceutical Services Analysis

The Research & Development Segment Anticipated the Growth During the Forecast Period

The global healthcare BPO market is segmented into manufacturing, research & development, and non-clinical services. The Research and Development segment holds the majority of the market share, due to the rising development of new medications and vaccinations in response to an increase in COVID-19 patients.

The research & development services segment, includes drug discovery, drug development, and clinical trials. The manufacturing services segment includes drug manufacturing, packaging, logistics, and distribution. Non-clinical services include activities such as regulatory compliance, marketing, and sales.

Key Market Segments

By Provider Service

• Revenue Cycle Management
• Patient Enrolments
• Patient Care

By Payer Service

• Claims Management
• Product Development Business Acquisition (PDBA)
• Member Management
• Provider Management
• Care Management
• Integrated Front-End Services and Back-office Operations
• Billing and Accounts Management Services
• HR Services

By Pharmaceutical Service

• Manufacturing Services
• Research and Development Services
• Non-Clinical Services

Drivers

The Increase Out Sourcing Non-Core Functions and Cost Effectiveness

Healthcare providers are mainly under pressure to contain their costs, which is growing the requirement for healthcare BPO. Healthcare providers are searching for innovative ways to decrease expenses and evaluate processes while maintaining the quality of care. The Healthcare BPO allows providers to outsource non-core functions and cost-effective providers to help them reduce costs and improve efficiency.

Rapid Adoption of Advanced Technologies

The healthcare BPO market is highly adopting advanced technologies, such as artificial intelligence (AI), machine learning (ML), and blockchain, to gain efficient and cost-effective healthcare services. These technologies help healthcare providers decrease costs and streamline operations, boosting the growth of the healthcare BPO market.

Restraints

The lack of services provided in Healthcare BPO Operations is a Major Restraint of the Global Healthcare BPO Market

Certain factors, such as the increasing cost of healthcare services, strict government regulations, and lack of services in healthcare BPO operations, restrain the global healthcare BPO market. The rising cost of healthcare services is a major restraint of the global healthcare BPO market. The overall cost of healthcare services is increasing due to the increasing demand for advanced healthcare services, medical devices, and drugs and increasing labor costs. Additionally, the strict government regulations for the privacy and security of patient data are reducing the growth of the global healthcare BPO market.

Opportunity

The increasing demand for healthcare services in the global market is creating a major opportunity for companies in the healthcare BPO market.

The growing demand for healthcare BPO services is creating an opportunity for companies in the healthcare BPO market to develop novel and affordable-cost products. Companies in the healthcare BPO market also focus on providing better customer service and improving the quality of healthcare services. The global healthcare BPO market also allows companies to spread their operations in global markets.

Trends

Healthcare BPO providers are rapidly investing in these technologies to understand their customers’ needs better.

Healthcare organizations are increasingly focusing on cost adjustment and product efficiency, which has grown the demand for the healthcare BPO market. This increased outsourcing of healthcare services to BPO providers can help healthcare organizations reduce labor costs and improve quality. The increasing demand for patient-oriented services is a major trend in the healthcare BPO market. This is due to the growing focus on providing personalized healthcare services using advanced technologies such as artificial intelligence, machine learning, and analytics.

Regional Analysis

As per the Regional analysis, North America is anticipated to hold the largest market share due to the presence of a major populace that receives advantages of healthcare BPO services in the region. The US has the world’s largest number of healthcare BPO service providers. This is the fact that the US is the most desirable destination for healthcare BPO services providers due to its high-technology healthcare system. The region of Europe is expected to be the second-largest market for healthcare BPO services due to the well-developed healthcare systems in Europe.

The UK, Germany, and France are the three main countries anticipated to be involved in the growth of the healthcare BPO market in Europe. The Asia Pacific is the fastest-growing region for the healthcare BPO market due to the large area of potential customers, such as India, China, Japan, and South Korea. The Rest of the World is expected to give a small share of the global healthcare BPO market due to the region’s low awareness and adoption of healthcare BPO. However, the market is expected to grow quickly due to the increasing demand for healthcare BPO products in Middle Eastern countries.

Key Regions

North America

• US
• Canada
• Mexico

Eastern Europe

• Russia
• Poland
• The Czech Republic
• Greece
• Rest of Eastern Europe

Western Europe

• Germany
• France
• The UK
• Spain
• Italy
• Portugal
• Ireland
• Austria
• Switzerland
• Benelux
• Nordic
• Rest of Western Europe

APAC

• China
• Japan
• South Korea
• India
• Australia & New Zealand
• Indonesia
• Malaysia
• Philippines
• Singapore
• Thailand
• Vietnam
• Rest of APAC

Latin America

• Brazil
• Colombia
• Chile
• Argentina
• Costa Rica
• Rest of Latin America

Middle East & Africa

• Algeria
• Egypt
• Israel
• Kuwait
• Nigeria
• Saudi Arabia
• South Africa
• Turkey
• United Arab Emirates
• Rest of MEA

Key Players Analysis

The major Key players in the market are involved in product development and strategic programs to spread their product advantages and improve their position in the global market. The global healthcare BPO market is highly competitive and is dominated by a few key players. These key players include Accenture, Cognizant, Genpact, Wipro, Capgemini, TCS, IBM, HP, Dell, and HCL Technologies. The big organization called Accenture is a leading provider of healthcare BPO services, particularly in the US and Europe. This company provides clinical data management, revenue cycle management, and medical billing services.

Cognizant, another major player in the healthcare BPO market, holds a major share in sales and offers various healthcare services. Genpact is a leading provider of healthcare BPO services in the Asia-Pacific region. It provides medical coding, billing, and claims processing services.

With the presence of many local and regional players, the market for healthcare BPO is fragmented. As a result, market players are subject to intense competition from top players, particularly those with strong brand recognition and high distribution networks. As a result, companies have gained various expansion strategies, such as partnerships and product launches, to stay on top of the market. The following are some of the major players in the global healthcare BPO market.

Market Key Players

• Accenture
• Akurate Management Solutions
• Access Healthcare
• Firstsource Solutions
• Cognizant
• Genpact
• GeBBS Healthcare Solutions
• Wipro
• HCL Technologies
• IQVIA
• Mphasis
• NTT Data Corporation
• Sykes Enterprises
• IBM Corporation
• Infosys BPM
• Invensis Technologies
• Lonza
• Omega Healthcare
• Parexel International
• R1 RCM
• Sutherland Global
• WNS (Holdings) Limited
• Xerox Corporation
• Tata Consultancy Services
• UnitedHealth Group

Recent Development

• In May 2021, NTT DATA and Score Data agreed to work together to implement Score Data’s nudging algorithms using NTT DATA’s machine learning solutions.
• In March 2020, Wipro partnered with PLEXIS Medical Systems. In Mar 2018, Conduent partnered with Provided Many Benefits Extra, and Cognizant Information Systems purchased Brighter Health Services.
• In June 2018, North Healthcare and Accenture merged to optimize sustainable procurement control and save costs.

Report Scope