The business services market is a significant contributor to the UK economy, accounting for approximately 10% of gross domestic product and employing roughly 3.3 million people. It is therefore pivotal to both our economic outlook as well as confidence.
With the development of new businesses and service offerings, corporates have increasingly looked to specialist businesses for support as opposed to attempting to recruit further to fill the gap. As a result, this sector has experienced significant growth as companies have looked for more compelling and innovative solutions to deliver necessary services in the most effective way.
Often thought of as an extremely diverse sector, the business support services industry encompasses four core areas:
Whilst the growing demands relating to speed and the quality of services has resulted in substantial growth, it has also highlighted a gap in skills and available resource. This however, not only provides businesses in this sector with the compelling drive to explore the art of the possible through innovation and increased efficiency, but it also encourages many to acquire other businesses to fill the gaps in their organisations.
Business services remains at the forefront of change and continues to adapt to challenges arising from economic, technological, industry and political factors.
Market uncertainty is driving businesses in this sector to reduce organisational complexity and create flexible, scalable operating models that are capable of swiftly responding to new market opportunities at lower costs. In addition, emerging technologies such as artificial intelligence is enabling this sector to transform their clients’ operations in terms of staff engagement as well as experience.
The ensuing demand is driving investment to refocus the sector and develop solutions to deliver services to organisations with a smaller employee bases. It is also driving mergers and acquisitions as corporates would rather acquire than develop solutions due to the rapid pace of change. We see growth via this consolidation and the continued provisions of private sector skills into the public sector to drive down costs.
How Quantuma can help
Quantuma's multidisciplinary business services group acts for clients across a range of advisory and transactional matters. Having successfully managed a variety of assignments and completed a number of deals in this sector, our team are in an ideal position to help you understand the market and achieve the best outcome for your business.