The rise of AI-driven automation is set to transform the BPM industry, with routine tasks like data entry and customer support increasingly handled by AI-powered agents. Experts said that while this may lead to job displacement, new roles in AI management, training, and complex customer interactions will emerge, shifting the industry toward a value-driven workforce.
Rohit Pandharkar, Technology Consulting Partner, EY India explained that in the past, certain roles or professions had grown to a large size and later deflated as a better and more efficient way of achieving the end goal appeared.
“The world will see a similar transition with BPMs, where voice agents or text bots powered by GenAI would be more affordable, efficient, and skilled to satisfy the end business requirements — either servicing or completing business process flows,” he said.
“Copilots” may take up a lot of the grunt work like looking up a policy, a contact address, or a logical next step in a process, but the human touch may still be around in a limited format.
Neeti Sharma, CEO of TeamLease Digital observed that with technologies like chatbots, RPA, and Gen AI becoming more common, tasks like answering customer queries, entering data, and managing tickets are increasingly being handled by machines. Fewer people may be required, with experts believing 40-50 per cent of white-collar roles in IT and BPM could be affected in the next ten years.
Handling repetitive tasks
Jobs in business services are especially vulnerable with AI getting better at handling repetitive tasks that don’t require much creativity or decision-making.
“A quarter of these jobs being automated could lead to a nationwide drop in household incomes. While low-skilled roles are most at risk, not all jobs will disappear. Instead, the nature of work will likely change. Companies will need to focus on roles like managing AI systems, helping businesses adapt to digital tools, and solving more complex problems. It’s not just about losing jobs—but creating new opportunities.”
Alongside, the economic impact of AI-driven job displacement in the sector could also significantly affect local communities, particularly in regions reliant on outsourcing. Job automation threatens the middle class and may reduce consumer spending. This could lead to lower demand for goods and services, slower growth in other sectors, and increased unemployment, since industries like manufacturing may not be able to absorb displaced workers at comparable wages, Sharma argued.
Amidst this uncertainty, however, industry players are also optimistic about the emergence of new roles. Jaspreet Bindra, Co-founder, of AI&Beyond, shared that roles may arise in managing, training, and improving AI systems, as well as in complex customer interactions that require human judgment. The overall employment landscape will shift from volume-driven to value-driven, requiring fewer but more skilled professionals.
“A case is Klarna, a Europe-based fintech, which has AI agents doing the work of about 400 human agents in their contact centre, with a lower resolution time, more first-time-right answers, and a claimed $40mn impact on their bottom line,” he said.
The definition of literacy may also include using AI tools innately and naturally apart from reading, writing, and arithmetic. Many firms are investing in large-scale reskilling and upskilling initiatives, which include training programs in AI and data analytics, communication, problem-solving skills, roles like AI trainers, prompt engineers, and automation supervisors.
“These companies can mitigate the effects of job displacement caused by AI by embracing a people-plus-technology model rather than a technology-only approach. They have to protect workers and not jobs, thus the same people should be retained but doing higher-order tasks like quality assurance, client management, or AI oversight.”
Milind Shah, Managing Director of Randstad Digital in India echoed that this shift towards AI-driven operations necessitates significant investments in employee training and upskilling. This will enable talent to adapt to new technologies and focus on high-value tasks that require human intervention.
In the short term, companies might reduce headcounts as AI automates routine tasks, leading to cost savings and operational efficiencies resulting in workforce restructuring, especially in sectors where job roles are highly repetitive and do not require specialized skills.
“Over time, BPMs that successfully integrate AI and reskill their workforce may maintain or even increase employment levels in specialised roles. This will depend on their ability to adapt to changing market demands and leverage AI to enhance human capabilities rather than replace them,” shared Shah.
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Published on March 26, 2025
