The latest ABSL report shows that the business services sector in Poland continues to grow. Employment growth last year was 22,100, and the sector accounts for 5.3% of GDP. In the near future, the industry will face changes mainly driven by the rapid technological development of recent years. It is clear that increasingly advanced and knowledge-based processes are being implemented in Poland. Thanks to the development of AI, we have the chance to play an increasingly important role in the global business services sector, comments Sebastian Drzewiecki, Country Manager of SoftServe Poland and Vice President of ABSL, Kraków region.
The development of the business services sector in Poland is inextricably linked to two periods in the history of the Western world. The first is 2004, the year of the fifth enlargement of the European Union, which included our country and enabled closer business cooperation with, among others, Germany, France, the United Kingdom, and also the USA. In 2008, during the financial crisis, Poland cemented its position in the business services sector, attracting investors with competitive prices. Looking at the data presented in the latest ABSL report, we can predict that 2024 or at the latest 2025 will be another significant milestone in the development of the business services sector in Poland. This time, the sector’s development is driven by the latest technologies, and Poland has the opportunity to become a leader in business transformations based on, among other things, AI.
The role of the Polish business services sector on the international stage has changed significantly. We are no longer a country to which simple tasks are delegated to reduce costs. Currently, foreign investors value Polish specialists for the high quality of advanced, creative processes that bring higher added value. In the first quarter of 2024, the share of mid-office processes amounted to as much as 52.9%.
The sector is currently most influenced by the rapid development of AI technology, which is already taking over some simple and repetitive tasks. This revolution brings significant changes to the functioning of enterprises. Companies are moving away from traditional operating models that focused on simple cost savings and back-office tasks in favor of dynamic, AI-based processes. GenAI forces organizations to adapt, promoting environments based on agility, innovation, and strategic development. To conduct such processes, companies will need highly qualified advisors, which the Polish business services sector can offer.
There is a clear demand in the market for advanced business transformations. 91.3% of transformation strategies focus on intelligent process automation, 79.8% on their standardization, and 70.2% on the implementation or expansion of artificial intelligence.
In Poland, employees in the business services sector will no longer perform simple and repetitive tasks. However, given that our country has been systematically evolving towards specialization in knowledge-based tasks (currently 55.5%) rather than purely transactional ones, we should not be worried. Data clearly show that the sector is not afraid of AI. As many as 85.9% of companies in the industry see artificial intelligence as an opportunity to increase productivity, and only 3.4% see it as a threat.
In Poland, we still have developmental potential in the talent pool. It has long been known that highly qualified and skilled individuals work here. At this point, it is crucial to direct their development so that they learn to practically use AI-based tools and offer clients strategic advice in this area.
Focusing the Polish business services sector on local specialization in the most advanced processes also represents an opportunity to strengthen our position on the international stage. The GenAI revolution brings many new roles, including global ones, in which Polish specialists will excel.
We must also remember external factors that influence the development of the business services sector in Poland. One key issue from the investors’ perspective is, of course, the war in Ukraine. In this context, Poland has proven for over two years that its economy is stable and constantly developing while simultaneously investing in supporting our neighbors.
Looking at the picture of the national economy and the position occupied by the business services sector, I have no concerns. The industry will undoubtedly undergo transformation, but it may prove to be an investment for the coming years. Strong local specialization will attract foreign investors and may even result in a third wave of investment and rapid development.