According to a new report released today by Information Services Group (ISG) (Nasdaq: III), a prominent global technology research and advisory firm, U.S. enterprises are navigating workplace management with cautious optimism in the face of macroeconomic challenges and the burgeoning capabilities of generative AI (GenAI).
Decisions surrounding workplace technology and service providers are crucial to enterprise strategy
The 2024 ISG Provider Lens™ Future of Work Services report for the U.S. reveals that while workplaces began to stabilize in 2023 following the disruptions of the COVID-19 pandemic, they are still grappling with its lasting impacts. Many organizations have adopted hybrid work models and are integrating new technologies to enhance competitiveness and employee satisfaction.
“Workplace policies regarding where employees can work have significantly influenced how leaders select technologies and management strategies,” said Dee Anthony, ISG’s Americas lead for Future of Work. “U.S. companies are leveraging promising advancements that can enhance operational efficiency and boost individual productivity.”
Following strict return-to-office mandates from major tech companies in late 2023, many U.S. enterprises faced backlash, resulting in talent loss across several sectors. Eased regulations also enabled dissatisfied workers to exit more readily. Currently, fewer than half of large U.S. firms require employees to be in the office five days a week.
AI is impacting all facets of digital workplace technology that affect employee experience, a top priority for enterprise IT, according to ISG. All providers of unified communications and collaboration (UCC) technologies have incorporated GenAI into their offerings. This integration has made AI a vital element of everyday productivity and connectivity among coworkers. Notably, GenAI can enhance the efficiency of service desk agents and lower the costs associated with workplace support.
Although U.S. companies are at the forefront of adopting various technologies and maintain optimism about GenAI, uncertainties regarding future regulations on data privacy and other issues have somewhat hindered its widespread adoption, ISG reports.
An increasing number of U.S. enterprises are pursuing bundled contracts that combine workplace services—such as device management and field support—with extensive digital or business transformation initiatives. This trend indicates that workplace services are evolving from being horizontal IT offerings to becoming more focused on specific industry verticals.
“As U.S. companies transform their work environments, the role of decision-makers in this space is expanding,” stated Jan Erik Aase, partner and global leader of ISG Provider Lens Research. “The choice of workplace technology and service providers is integral to enterprise strategy.”
The report also highlights other workplace trends influencing U.S. companies, including the diverse expectations of various generations of workers and the growing emphasis on sustainable digital workplace technologies.
For additional insights into the workplace challenges faced by U.S. enterprises—including decisions regarding remote work and outsourcing workplace management services—see the ISG Provider Lens™ Focal Points briefing.
The 2024 ISG Provider Lens™ Future of Work Services report evaluates the capabilities of 52 providers across six quadrants: Workplace Strategy and Enablement Services, Collaboration and Next-gen Experience Services, Managed End-user Technology Services—Large Accounts, Managed End-user Technology Services—Local Specialists, Continuous Productivity Services (including Next-gen Service Desk), and Smart and Sustainable Workplace Services.
Notably, HCLTech, Infosys, TCS, Unisys, and Wipro are recognized as Leaders in five quadrants each. DXC Technology, Kyndryl, and NTT DATA are acknowledged as Leaders in four quadrants each, while Cognizant is recognized as a Leader in three quadrants. Accenture, CompuCom, Stefanini, and Tech Mahindra are Leaders in two quadrants each, and Bell Techlogix, Deloitte, Hexaware, LTI Mindtree, Pomeroy, and Zensar Technologies are Leaders in one quadrant each.
Additionally, Tech Mahindra is named a Rising Star in two quadrants, indicating a promising portfolio and high potential, while Cognizant, Hexaware, Kyndryl, and Lenovo are recognized as Rising Stars in one quadrant each.
In terms of customer experience, HCLTech is honored as the global ISG CX Star Performer for 2024 among workplace providers, achieving the highest customer satisfaction scores in ISG’s Voice of the Customer survey, part of the ISG Star of Excellence™ program.
Customized versions of the report are available from Bell Techlogix, Lenovo, Stefanini, and Unisys.
The 2024 ISG Provider Lens™ Future of Work Services report for the U.S. can be accessed by subscribers or purchased as a one-time download on their website.
About ISG Provider Lens™ Research
The ISG Provider Lens™ Quadrant research series combines empirical, data-driven research and market analysis with insights from ISG’s global advisory team. This comprehensive resource offers enterprises valuable data and analysis to assist in selecting the right sourcing partners, while also serving as a tool for ISG advisors to validate their market knowledge.
About ISG
ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm, partnering with over 900 clients, including more than 75 of the world’s top 100 enterprises. ISG is dedicated to helping organizations achieve operational excellence and accelerate growth, specializing in digital transformation services such as AI, cloud, and data analytics. Founded in 2006 and headquartered in Stamford, Conn., ISG employs more than 1,600 professionals operating in over 20 countries, known for their innovative thinking and deep industry expertise. For more information, visit www.isg-one.com.
