APAC and MEA Finance and Accounting Managed Services Industry Market is Anticipated to Witness High Growth

The APAC and MEA finance and accounting managed services industry offers accounting, bookkeeping, financial analysis, payroll services, financial planning, tax filing and consulting to various organizations outsourcing their finance and accounting activities. The growing trend of outsourcing finance and accounting functions among organizations to focus on their core operations is driving the demand for such managed services. These services help reduce operational costs and improve process efficiency. Additionally, accessing talents with advanced skills and integrating automated systems for improved decision making has encouraged firms to outsource finance and accounting activities to specialized service providers.

Key Takeaways

Key players operating in the APAC and MEA finance and accounting managed services are GuardRFID Solutions Inc., ALE International (Nokia Corporation), Favendo Gmbh, Teldio Corporation, CenTrak, Cisco Systems Inc. (Cisco Meraki), AiRISTA Flow Inc., Creativity Software Ltd., IBM Corporation, DigitalGlobe Inc. (Maxar Technologies), Aruba Networks (HPE Development LP), Ericsson Inc., HERE Global BV, IndoorAtlas Ltd., GL Communications Inc., and Esri Inc. These players are focusing on partnerships, mergers, and acquisitions to expand their service offerings and regional presence.

The key opportunities in the market include developing specialized finance and accounting process management solutions leveraging technologies like artificial intelligence, blockchain, cloud computing etc. Growing digitalization of finance functions presents major opportunity areas.

The finance and accounting managed service providers are expanding globally to tap markets in Southeast Asia, Middle East and Africa. The growing popularity of remote working models and availability of digital financial infrastructure is encouraging international players to offer their services across different geographies.

Market Drivers:
The key driver for the APAC And MEA Finance And Accounting Managed Services Industry Market Demand is the need for increased compliance with dynamic financial regulations across different countries. Outsourcing to specialized providers helps organizations meet regulatory requirements efficiently.

Market Restrains:
High initial investment and transition costs involved in outsourcing finance activities to external partners is a major restrain. Additionally, data security and privacy concerns limit complete outsourcing of critical finance functions by some organizations.

Segment Analysis
The APAC and MEA finance and accounting managed services industry market is dominated by the accounting services sub segment. Accounting services refer to services such as bookkeeping, payroll processing, financial reporting, and taxation services that are outsourced to specialized service providers. This sub segment accounts for over 60% of the total market share as large enterprises and growing SMEs seek to reduce operational costs by outsourcing their finance and accounting needs to third party service providers. These service providers leverage cloud technologies and automation tools to deliver services in a cost effective and scalable manner.

Global Analysis
The APAC region is the fastest growing and dominating region in the APAC and MEA finance and accounting managed services industry market. The region accounts for over 50% of the total market share. The growth can be attributed to rapid digitalization, intense competition, and growing SME sector in nations such as India and China. These nations contribute over 60% of the total APAC market size on account of strong economic growth, availability of skilled labor, and governmental initiatives to promote outsourcing activities. Nations such as Singapore and Malaysia are also emerging as major hubs for finance and accounting managed services on back of robust infrastructure, political stability, and presence of global service providers. The regions in MEA witness slower growth rates with UAE and South Africa being major markets.

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