The workplace transformation market size is expected to advance at a CAGR of 17.3% during 2022–2030, to reach USD 57.9 billion by 2030.
Technological developments, such as AI and automation technology, are playing a crucial role in organizations to improve productivity and streamline business processes. Since dynamic changes are evolving on a daily basis in AI and automation, workplace transformation service providers cannot lag behind in providing cloud technology and integrating AI technology in their service offerings.
Moreover, future workspaces will accept novel technologies that will help employees to connect and get things done. For instance, cloud-based and smart connected meeting rooms will allow employees to cooperate with colleagues wirelessly, interacting by using voice, touchscreens, and video.
Therefore, the requirement for cloud-based collaboration will be influenced by the globalized workforce. Hence, there is an ample number of opportunities for service providers to innovate their service offerings, such as using AI-based chatbots in unified communication and collaboration services. Also, the application of IoT in field services to keep a track of vehicle tracking, inventory management, and customer portals, will enhance the efficiency of supply chain management in the logistics sector.
Moreover, cloud-based workplace transformation solutions, such as field services, workplace automation, unified communication, and collaboration, allow enterprises to access a large number of applications without incurring heavy expenses. Furthermore, implementation of these services will help SMEs and start-ups eliminate huge infrastructure costs, ensure faster deployment, and increase business agility, to improve employee efficiency.
Many organizations have started to adopt virtual reality (VR) devices to enhance their workplace environment; for example, companies, such as UPS and Walmart, have started rolling out VR-based training to new employees to quickly equip them with their jobs with higher safety and quality.
Similarly, many companies in the industrial segment are using augmented reality (AR) to enable workers to identify and fix problems with the equipment in factories. The increasing adoption of AR and VR provides lucrative opportunities to workplace transformation service providers, allowing them to offer such services to enterprises, enabling the employees (users) to stay in the real world, while keeping connectivity to a host of AR/VR-enabled applications and services.
For example, employees on the factory floor need to be present and engaged in the factory, AR will allow employees to access the computer and assist the co-worker present in the production line or anywhere else in the factory, giving experience just like having personal assistance.
Similarly, mixed reality (MR) allows communication between real and virtual components. Since MR allows connectivity among devices, IoT will come to use as it allows communication among connected devices. Moreover, MR allows users to create content, paint with virtual brushes, manipulate 3D objects that one can view from multiple perspectives, and collaborate around a shared virtual table that each person can experience in his/her own location.
So, there are immense opportunities for service providers to enhance their service offerings by bundling them with VR, AR, and MR devices, which will assist in greater workplace transformation for enterprises.
The banking, financial services and insurance (BFSI) had around 15% share in 2022 owing to the increasing need in the industry for improving productivity and efficiency of employees. Due to the influx of new digital-first firms, traditional insurers and banks are rethinking the digital strategy that can help them compete effectively in the market.
Moreover, the increase in competition is a key factor for the rise in demand for workplace transformation in the BFSI sector. Companies in this sector are developing a collaborative network to connect the resources (employees, information) available to them, retain the talented workforce, and attract millennials into their existing workforce.
However, during the forecast period, the fastest growth is expected from healthcare and life sciences, due to the rising need for maintaining electronic health records (EHRs) and the security of vital information, such as diagnostic results.
The most-significant workplace transformation market players are Accenture plc, Tata Consultancy Services Limited, Infosys Limited, CITRIX Systems Inc., HCL Technologies Limited, Wipro Limited, Intel Corporation, Cisco Systems Inc., and The International Business Machines Corporation.