Navigating Change in BFS and Insights from the Everest Group BPS Top 50 2025

June 25, 2025, 08:40 PM 
By Matt Slonaker

As someone deeply engaged in the banking and financial services (BFS) industry and the broader business process services (BPS) landscape, I’ve been reflecting on two significant pieces of insight recently. First, the evolving challenges in BFS, where leaders like me are navigating a shift from branch-centric operations to a digital, data-driven world. Second, the Everest Group BPS Top 50 2025 report, released this month, which offers a data-rich view of the global BPS sector. Together, these perspectives highlight a critical moment for our industry, and I want to explore how they intersect, with a particular nod to Firstsource’s role—where I have a vested interest—and what it means for the future.

The BFS Landscape: A Leader’s Perspective

I recall a strategy meeting years ago with fellow BFS leaders, where we wrestled with a persistent question: how do we adapt to growing customer demands while staying flexible in an uncertain market? The BFS sector is a demanding space—economic shifts, regulatory oversight, and the push for personalized services keep us on our toes. We’re not just handling finances; we’re part of an ecosystem affecting millions and managing vast sums. This complexity is mirrored in the Everest Group’s findings, where the global BPS market, valued at nearly $300 billion, has evolved from a cost-saving tool for back-office tasks to a broad influence across the business process value chain, with over 250 providers generating more than $50 million annually.

The Everest Group BPS Top 50, first published in 2015 and updated yearly, ranks the 50 largest third-party BPS providers based on revenue and year-over-year (YoY) growth. It’s not a capability assessment but a factual snapshot of performance, drawing from listed company data, Everest’s proprietary databases, and provider input. This year’s report shows the Top 50’s growth accelerating to 5.5-6.5% from 4.5-5.5% in 2024, fueled by large acquisitions, strong demand in Revenue Cycle Management (RCM), and growing interest from small and midsized businesses for HR solutions. The Top 10 providers added $6.9 billion in incremental revenue, up from $4.4 billion in 2023, though ranks 11 to 50 saw a slight $0.1 billion dip compared to a $1.3 billion gain last year, indicating growth concentration at the top.

Firstsource’s Standout Performance

What caught my eye in this report is Firstsource’s remarkable rise. Climbing 22 spots to rank 24 with $895 million in revenue and a 19% YoY growth rate, Firstsource is among the “top risers,” outpacing peers like Alorica (18 spots up) and Altius Link (17 spots up). This leap stands out in a year where ranking volatility dropped to 36% of providers shifting five or more positions, down from 38% in 2024, and the gap between the top 10 and bottom 10 growth providers widened to 33 points from 18. Firstsource’s organic growth, without merger boosts like Concentrix’s 30% (rank 3, $9.6 billion) or Altius Link’s 33% (rank 10, $1.5 billion), highlights its internal strength, though it lags these giants in absolute revenue.

This performance aligns with BFS priorities I’ve long observed. Firstsource’s work in automation—handling tasks like account setup or fraud checks—could simplify operations, a key concern for BFS CEOs and COOs managing core systems. Their omnichannel customer experience support, using AI chatbots and analytics, resonates with the need for seamless interactions, a focus for Chief Customer Officers. Their analytics tools offer insights into credit risks or customer trends, supporting Chief Data Officers, while their regulatory expertise eases compliance burdens for Chief Risk Officers. These capabilities mirror the industry’s shift toward value-added services, which the Everest report ties to RCM and HR demand.

A Comparative Lens: Firstsource vs. Industry Trends

Comparing Firstsource to broader trends adds depth. Pure-play BPS providers, focusing solely on BPS, outperformed IT-BPS providers (offering IT services too) with 7.0% growth versus 3.0% in 2024. As a pure-play firm, Firstsource’s 19% growth exceeds this average, suggesting it’s capitalizing on account expansions and niche demands effectively. Specialists, with over 75% revenue in one area, narrowed a 2-point gap with broad-based providers (6.1% vs. 5.7%), driven by acquisitions. Firstsource’s diversified BPS offerings give it a balanced edge, unlike larger IT-BPS players like Accenture (rank 4, 1-4% growth) or Cognizant (rank 12, 0-2% growth), whose broader portfolios may dilute BPS focus. Yet, it trails merger-fueled leaders, showing room to scale through strategic moves.

Reflections and Intersections

For BFS, this data sparks curiosity. Firstsource’s rise reflects its ability to adapt to market needs, particularly in areas like customer experience and automation, which align with BFS’s digital transformation. The report’s focus on RCM and HR as growth drivers suggests opportunities where BFS could leverage similar services—think loan processing or payroll optimization. Their collaborative approach, emphasized in past discussions at BFS events, mirrors a partnership mindset that could help BFS leaders navigate volatility, integrating with existing systems or preparing for trends like open banking.

The BFS industry is at a turning point. With digital adoption surging, economic shifts, and new players emerging, decisive action is needed. Firstsource’s blend of operational rigor and innovative thinking, validated by its Everest ranking, offers a perspective worth exploring. As we move forward, I’m interested in how these trends evolve and where Firstsource fits, especially in supporting BFS goals like efficiency, customer focus, and compliance.

What are your thoughts on these shifts in BFS and BPS? How do you see providers like Firstsource shaping the future? I’d love to hear your perspectives below!