The Rise of Industry-specific Outsourcing (FAO) Solutions

Key Points

• In the past, FAO was a largely horizontal and industry-agnostic BPO segment. But now industry-specific FAO solutions are increasing

• Increasing client sophistication requires industry-specific solutions. Increasing competition is also pushing FAO providers to differentiate and specialize

• Industry-specific FAO concepts are particularly emerging in the retail and airlines industries

• While industry-specific FAO promises an enhanced value proposition over traditional horizontal FAO solutions, the complexity grows exponentially