The global Business Assurance Market is estimated to account for US$ 1,58,500.2 Bn in terms of value by the end of 2022. Demand for business assurance services in the operations relating to various functions of businesses is expected to rise due to a high emphasis on adopting assurance services to improve efficiency within the organization. The business assurance services are used across a wide range of applications in downstream, midstream, and upstream operations catering to different industries like industrial manufacturing, power & utilities, transport and logistics, etc. With increasingly stringent regulatory norms levied by the regulatory authorities as well as the management of the companies, the demand for global business assurance market is expected to grow during the forecast period.
For instance according to PwC, a business risk assurance service provider, the rapidly shifting current business landscape has led to swift increase and constant change in technology‐related risks. Businesses are required to make massive investments in security solutions to maintain pace and capitalize on opportunities in the business risk assurance market. Additionally, increasing need for information security or data security in companies is expected to be a major factor driving growth of the business assurance risk market in the near future.
Global Business Assurance Market: Drivers
Emergence of the concept of Big Data:
Big data refers to the datasets that are too large or complex to be dealt with traditional data processing software. The current business environment is characterized by increasing technological adoption in almost all the operations and functions within the organizations. This inclination towards digitizing the operations has led to the emergence of vast inventory of data in digitized form. This data is highly crucial for the organizations to make important strategic decisions as well as retrieving the required data when needed. As these huge datasets are generated by the companies, they feel the increasing need for having systems capable of processing such data efficiently, which brings into picture the services provided by the business assurance market. Under the segment of software and services; business assurance market caters to the requirements of the organizations relating to processing vast chunks of data and drawing meaningful insights from it. For instance, according to a report published by Analytics Insights, in April 2022, The use of Big Data by instagram has been studied and it was found that, the use of data analytics tools of Big Data, Instagram is able to efficiently push the relevant content to its users based on the data collected like their online activity, their preferences, likes, areas of interests, topics they follow, etc. This increases the relevancy of their content in the eyes of the users thereafter increasing its effectiveness. Hence, the growth in the realm of Big Data is expected to provide the necessary boost to the business assurance market during the forecast period.
Demand for Fair and Ethical Use of Data:
The issue of data privacy and ethical use of the data collected by the organizations from the internal as well as external stakeholders associated with the organizations is increasing in recent times. The organizations collect data from the customers relating to their demographic and personal details, data relating to their online activities, etc. On the other hand, data collected from the stakeholders like the contract details, details regarding shareholdings, etc. is also collected. This data is highly sectretive and should be used with high degree of responsibility by the organizations. There are instances where the big corporations have been found guilty of misusing the customer data for their own benefits. For instance, in March 2018, Meta (earlier called Facebook) was summoned by the US Judiciary in case of data privacy breach of the users where the investigation was based on the misuse of data related to the online activity of the users like their location, their search histories, the contact details, etc. Cases like these have made it important for the regulatory bodies to have practices for ethical and fair use of data in place. This coupled with the growing awareness and concern among the customers related to the management of their personal data by the companies is in-turn growing the demand for data privacy practices and compliance systems which will further boost the growth of the global business assurance market.
Global Business Assurance Market: Restraints
Constant Changes in Regulatory Norms:
Global Business Assurance Market is subject to constant changes in policies and procedures according to the regulatory and statutory requirements. The governments across the world are increasingly focusing on developing stringent policies and regulations related to compliance systems, audits, environmental and safety regulations, etc. These policies change from region to region even within the same country. Hence, the services provided by the global business assurance market need to be in accordance with these changing requirements to establish the necessary relevance. This factor makes it difficult for the companies operating in the business assurance market to devise standardized systems for risk and compliance management. This affects the prospects of taking advantage of standardized practices which in-turn increases costs and required level of expertise for handling each system. This can prove to be a restraining factor for the growth of global business assurance market during the forecast period. For instance, In February 2023, Securities Exchange Board of India (SEBI), proposed changes to streamline the regulatory disclosure norms for newly listed companies. Under this system the companies are required to publish their first financial results within 15 days. In addition the circular regarding the intimation of changes in the directors and board members is revised. Such constant changes in the regulatory norms make it necessary for the business assurance market to constantly keep the track of proposed changes in the market and update the systems accordingly.
Global Business Assurance Market- Impact of Coronavirus (Covid-19) Pandemic
Due to the stringent lockdowns and social isolation necessary to stop the virus's transmission, the COVID-19 had a mixed impact in the business assurance market. The overall growth rate of the market was obviously impacted as the industries operating in manufacturing, engineering, etc. were shut down temporarily. This brought the overall demand for the assurance services significantly on the lower side. Besides, the companies operating in the services sector predominantly dealing in IT services and consultancy were still operational during the pandemic with the facility of remote working. Hence, the services rendered to these industries were still in demand which ensured that the business assurance market is not completely stagnant during the pandemic period.
These changes in accordance with other markets were temporary in nature and as the business world started gaining back the momentum in the post-pandemic period the demand for the business assurance services started gaining pace.
To know the latest trends and insights prevalent in this market, click the link below:
https://www.coherentmarketinsights.com/market-insight/business-assurance-market-2816
Key Takeaways:
The Global Business Assurance Market was valued at US$ 1,58,500.2 Bn in 2022 and is forecast to reach a value of US$ 2,98,678.1 Bn by 2030 at a CAGR of 8.2% between 2023 and 2030.
Risk Management segment held dominant position in the global Global business Assurance Market in 2022, accounting for 35% share in terms of value, increasing inclination of the global corporations towards having sound risk assessment and mitigation systems in place in order to make sound strategic decisions and ensure safety and security is expected to grow the demand for risk management services during the forecast period.
Global Business Assurance Market: Competitive Landscape
Atkins Global, Baker Engineering and Risk Consultants, Inc., Ciena Corporation, AssuringBusiness, Cognizant, Stress Engineering Services, Inc., INFOSYS, Cyber Risk Assurance, Equinox Information Systems, HCL Technologies, aeSolutions, Tata Consultancy Services Ltd., LexisNexis, NETSCOUT Systems Inc., Prolifics Inc., and Others.
Global Business Assurance Market: Recent Developments
- In December 2022, Atkins Global, a member of SNC-Lavalin Group has expanded its business presence in India. Atkins’ Mumbai office is a part of its Global Technology Center (GTC) in India which is an integral part of the company’s global delivery system.
- In April 2020, Baker Engineering and Risk Consultants, a US based multinational company announced the launch of Ammonia Energy and Fertilizer Research Cooperative (AEFRC). The program was launched with the aim of identifying possible failure elements associated with ammonia processing equipment to avoid the risk of negative consequences of injury, property damage and business interruption.
- In November 2022, Stress Engineering Services, a global leader in delivering complex engineering solutions, announced the launch of SES Renewable Solutions, a new group dedicated to serve the growing needs of engineering services required by the companies operating in renewable energy sector.
- In March 2023, Equinox Information System, a company with global presence in providing data mediation and analytics tools in the realm of business assurance services, announced the continuation of its deal with Bandwidth Inc., a global leader in telcom industry for lending services related to Fraud Management Services (FMS).
