2025 Pricing Trends Signal New Opportunities in HR Outsourcing
ISG Research is detecting significant fee reductions as enterprises enhance their HR target operating model, better leveraging provider technology and best business practices.
It’s HR that engages the workforce of tomorrow, drives operational efficiency and delivers value to the business in a new way.
Transforming HR means reorienting the role HR plays in the organization. Rethink your operating model and boost its capabilities by leveraging the right technology, the right delivery model and an effective sourcing ecosystem.
Reimagine the Employee Experience
The
workplace of the future requires the workforce of future. How do you attract and retain top talent?
You need a workforce strategy that not only aligns HR with business goals but also leverages HR as an enterprise leader. Optimize processes, roles, and shared services so you can help the business define success – and lead the charge.
Revolutionize HR with Technology
Is your HR technology holding you back? Manual processes and inflexible systems are frustrating and inefficient.
You need to balance technical architecture, data security and the use of emerging technologies like machine learning and chatbots with a deep understanding of HR functionality, processes and user expectations.
Optimize Sourcing to Save
Wondering if there’s a better way to “get it all done?” HR has a broad set of outsourcing markets—from HR contact centers and payroll administration to recruitment and learning, there are outsourcing partners to support your team.
ISG’s HR Technology & Transformation experts are the market leaders in helping enterprises transform their HR organizations through strategic use of outsourcing. We bring the domain experience, sourcing know-how, best-in-class methodologies
and world-class market data you need to assess, source, benchmark and manage your HR delivery partner relationships.
ISG is a leader in proprietary research, advisory consulting and executive event services focused on market trends and disruptive technologies.
Get the insight and guidance you need to accelerate growth and create more value.
Learn MoreSAP Business Data Cloud (BDC) is the unification of capabilities that previously existed in two separate offerings: SAP Datasphere and SAP Analytics Cloud. As its name implies, Analytics Cloud was SAP’s analytics offering. However, unlike many of its competitors, it also included planning capabilities. SAP Datasphere was the evolution of SAP’s data warehouse as a service (formerly called SAP Data Warehouse Cloud) and included data management, data integration, data federation, data governance and data catalog capabilities.
Our 2025 research divides the workforce-management landscape into five focused guides—WFM Basics, WFM Suites, WFM for Healthcare, WFM for Manufacturing and WFM for Retail. Each report applies a common evaluation lens yet weights criteria to reflect the operational realities, compliance pressures and innovation priorities unique to its scope. Together, they provide a panoramic view of the market and a set of targeted benchmarks that let buyers zero in on the capabilities—and partners—best aligned to their context.
As enterprises navigate their digital transformation journeys, several key trends are shaping the adoption and utilization of SAP solutions. Many businesses face difficulties constructing a robust business case for migrating from SAP ERP to SAP S/4HANA. Understanding the TCO for the initial years remains a significant hurdle, with organizations seeking more clarity and frameworks to evaluate potential returns and justify the transition investment effectively. While pressure exists to migrate to SAP S/4HANA, firms are taking a cautious approach globally to ensure business continuity and pace the timing of the migration to minimize impact.
The 2025 SAP Ecosystem study for the U.S. observes that enterprise clients, like the previous year, continue to have a cautious and risk-averse approach to planning their migration from ECC 6.0 to SAP S/4HANA cloud. External factors such as economic headwinds and tariff conflict and technical factors such as limited reference business use cases, uncertain ROI, legacy systems to support technology such as generative AI (GenAI), longer implementation duration and data migration challenges have made the transition to SAP S/4HANA even more complex. Enterprises in the U.S. are reassessing their strategies for transformation to SAP S/4HANA. They are increasingly focused on an approach that guarantees minimal business disruption and cost-effective solutions. These enterprises are seeking service partners that can offer strong consulting capabilities for a seamless transformation road map. Clients in the U.S. want to assess the risks and implications of accepting SAP’s subscription terms and the future expansion of their ERP systems, leading to an increase in demand for robust risk management and change management tools and solutions.
The shift toward a Zero Trust Network Access (ZTNA) framework is a strategic move for enterprises aiming for an enhanced security posture. ZTNA operates on the principle of "never trust, always verify," ensuring that every user and device is authenticated and authorized before accessing resources. In this context, Privileged Access Management (PAM) emerges as a critical enabler for an effective ZTNA implementation.