ISG Provider Lens™ report says demand for GenAI and responsible AI frameworks is driving intelligent automation growth

The rise of generative AI (GenAI) and agentic process automation are driving demand for responsible AI frameworks and transforming how businesses in Europe operate, according to a new research report published today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

The 2024 ISG Provider Lens™ Intelligent Automation Services for Europe report says GenAI, which uses large language models (LLMs) to analyze vast amounts of data and generate complex outputs, is streamlining operations and enhancing decision-making processes.

“GenAI has the potential to revolutionize intelligent automation, enabling organizations to analyze vast datasets and enhance their operational efficiencies,” said Steve Hall, Chief AI Officer, ISG. “Service providers are infusing GenAI capabilities into automation use cases, significantly accelerating innovation.”

Enterprise adoption of GenAI is being driven by improved in-house LLM capabilities and industry-specific models, while automation providers are leveraging in-depth industry knowledge to create accelerators, use case libraries, templates and workshops for rapid prototyping, ISG says.

“The demand for intelligent automation services in Europe is rising, particularly within industries such as automotive, healthcare, finance and retail, which are focused on operational efficiency,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “Organizations are transitioning toward comprehensive automation solutions rather than traditional, fragmented approaches.”

Organizations face significant implementation and scalability challenges, particularly with integrating GenAI within complex ecosystems that include legacy systems and diverse tools. Automation service providers can help address these issues by applying their expertise in technology integration and alignment with automation maturity, the report says.

European enterprises are taking a more risk-averse stance to GenAI in intelligent automation than organizations in North America, due to stringent regulatory frameworks such as the EU AI Act and GDPR. At the same time, regulations are fostering a demand for ethically responsible AI solutions.

The report says the emergence of agentic AI is paving the way for advanced applications in customer service, employee onboarding and supply chain management. Unlike traditional automation solutions that focus on individual tasks, agentic AI represents a shift toward autonomous systems capable of context-aware decision-making with minimal human intervention.

The report also explores other key trends in the intelligent automation services market in Europe, including responsible AI practices and skills shortages faced by enterprises and intelligent automation providers.

For more insights into the organizational, technical and ethical challenges faced by Europe’s enterprises, and how service providers are helping to meet them, see the ISG Provider Lens™ Focal Points briefing here.

The 2024 ISG Provider Lens™ Intelligent Automation Services report for Europe evaluates the capabilities of 39 providers across 3 quadrants: Intelligent Enterprise Automation, Artificial Intelligence for IT Operations (AIOps) and Next-Gen Automation.

The report names Accenture, Capgemini, Tietoevry Tech Services, T-Systems and Wipro as Leaders in three quadrants each. Cognizant, HCLTech, Hexaware, TCS and WNS-Vuram are Leaders in two quadrants each. DXC Technology, Eviden (Atos Group), EXL, Genpact, Infosys and Tech Mahindra are Leaders in one quadrant each.

In addition, Tech Mahindra is named as a Rising Star — a company with a “promising portfolio” and “high future potential” by ISG’s definition — in one quadrant.

In the area of customer experience, Persistent Systems is named the global ISG CX Star Performer for 2024 among intelligent automation service providers. Persistent Systems earned the highest customer satisfaction scores in ISG's Voice of the Customer survey, part of the ISG Star of Excellence™ program, the premier quality recognition for the technology and business services industry.

Customized versions of the report are available from Tietoevry, T-Systems and WNS.

The 2024 ISG Provider Lens™ Intelligent Automation Services report for Europe is available to subscribers or for one-time purchase on this webpage.

About ISG Provider Lens™ Research

The ISG Provider Lens™ Quadrant research series is the only service provider evaluation of its kind to combine empirical, data-driven research and market analysis with the real-world experience and observations of ISG's global advisory team. Enterprises will find a wealth of detailed data and market analysis to help guide their selection of appropriate sourcing partners, while ISG advisors use the reports to validate their own market knowledge and make recommendations to ISG's enterprise clients. The research currently covers providers offering their services globally, across Europe, as well as in the U.S., Canada, Mexico, Brazil, the U.K., France, Benelux, Germany, Switzerland, the Nordics, Australia and Singapore/Malaysia, with additional markets to be added in the future. For more information about ISG Provider Lens research, please visit this webpage.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including AI, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Press Contacts:

Will Thoretz, ISG +1 203 517 3119 will.thoretz@isg-one.com

Philipp Jaensch, ISG +49 151 730 365 76 philipp.jaensch@isg-one.com

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