U.S. Enterprises Transform Operations Through AI-Enabled ESM
MWN-AI** Summary
A new report by Information Services Group (ISG) reveals that U.S. enterprises are increasingly leveraging enterprise service management (ESM) as a cornerstone for digital transformation, moving beyond traditional IT service management. The 2025 ISG Provider Lens report highlights how companies are integrating AI and automation to optimize workflows and enhance operational efficiency across various departments, including human resources, finance, and facilities.
ESM is being recognized as a vital component that allows organizations to unify their operations, adapting dynamically to changing business needs. Andy Miears, an ISG partner, emphasizes that ESM acts as the "connective tissue" for digital operations, aligning people, workflows, and technologies to deliver measurable business value through advanced service orchestration.
One of the driving forces behind this trend is the growing emphasis on AI within organizations. Often seen as an AI-native operating system, ESM facilitates intelligent automation, reducing routine service tasks and improving performance metrics, allowing staff to focus on higher-value activities. Integration with customer relationship management and enterprise resource management systems through APIs and low-code tools enables real-time visibility across cloud environments, extending automation efforts into functions like sustainability reporting.
To maximize the benefits of digital transformation, U.S. firms are focusing on creating clear ROI structures and operational efficiencies associated with ESM initiatives. As a result, there is a pronounced shift in how companies view ESM—as a strategic investment rather than merely a technological expense.
The report also identifies key leaders in the market, including Accenture, Capgemini, and Deloitte, recognized for their robust capabilities across multiple service categories. Additionally, Hexaware is lauded for its superior customer experience, marking its significance in the rapidly evolving ESM landscape. Overall, U.S. enterprises are redefining ESM as a holistic ecosystem that merges automation, analytics, and strategic design for sustained business impact.
MWN-AI** Analysis
The recent ISG Provider Lens report highlights a transformative trend as U.S. enterprises increasingly adopt enterprise service management (ESM) to drive digital business transformation. As organizations recognize the value of unifying workflows through AI and automation, they position ESM as the backbone of their operational strategy. The implication is clear: businesses that leverage ESM effectively can realize significant competitive advantages.
From an investment perspective, companies should strategically consider the integration of AI with ESM as a pathway to operational excellence. ESM's ability to connect various business functions—such as human resources, finance, and facilities—creates streamlined workflows that enhance organizational agility. This not only reduces costs but also improves service delivery, thereby boosting overall performance. Therefore, firms ought to explore ESM solutions with intelligent automation capabilities to enhance user experience and alleviate routine task burdens from staff, allowing them to focus on higher-value responsibilities.
Moreover, the trend of integrating ESM with systems like CRM and ERP via low-code tools and APIs supports a multicloud operational model that enhances real-time visibility across the enterprise. This integration is vital for organizations aiming to adapt swiftly to market changes and operational challenges.
Investors can also look for emerging players in the ESM landscape. Companies like DXC Technology, Fujitsu, and Genpact are marked as Rising Stars, indicating promising potential and growth trajectories. Strong customer satisfaction scores, as seen with Hexaware's recognition as a CX Star Performer, can also signal opportunities for investment.
In summary, the future of U.S. enterprises lies in reimagining ESM as a strategic investment rather than a technological expense. Firms should prioritize measurable outcomes, align objectives with service providers, and harness the transformative potential of AI to secure a competitive edge in a rapidly evolving market.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
Companies integrate AI and automation into enterprise service management to unify workflows, generate business value, ISG Provider Lens ® report says
Enterprises across the U.S. are adopting enterprise service management (ESM) as a foundation for digital business transformation, according to a new research report published today by Information Services Group ( ISG ) (Nasdaq: III ), a global AI-centered technology research and advisory firm.
The 2025 ISG Provider Lens ® Enterprise Service Management — Services report for the U.S. finds that organizations are increasingly taking ESM beyond IT service management, using an AI-driven approach to orchestrate workflows and optimize service operations across the entire enterprise. ESM is uniting human resources, finance, facilities and other functions into a single environment that can automatically anticipate and adapt to changing needs.
“ESM has become the connective tissue for digital operations in U.S. enterprises,” said Andy Miears, ISG partner, Adaptive Organizations. “Companies are aligning people, workflows and technology to achieve measurable business value through smarter service orchestration.”
U.S. enterprises’ increasing focus on AI is a major reason for their expanding use of ESM, ISG says. Increasingly, they see ESM as an AI-native operating system for organizations and look to intelligent automation to improve company performance and user experience. By automating routine service tasks and applying predictive analytics, companies are reducing ticket volumes, minimizing downtime and resolving issues faster. Intelligent chat and voice bots now handle many customer and employee interactions, enhancing reliability and allowing staff to carry out higher-value tasks.
Organizations in the U.S. are also integrating ESM into multiple business systems, including customer relationship management and enterprise resource management, the report says. Linking these platforms using prebuilt connectors, APIs and low-code tools supports multicloud operations and enables real-time visibility across diverse environments. This integration is extending automation into areas such as sustainability reporting, data pipeline management and risk monitoring.
Under pressure to derive maximum value from digital transformation, U.S. companies are modernizing service management for measurable outcomes, including lower total cost of ownership, reduced technical debt and greater agility, ISG says. Companies increasingly structure ESM initiatives around clear return on investment, operational efficiency and experience metrics. Use of outcome-based contracts is increasing as enterprises and providers align on shared objectives, cost models and performance measures.
“U.S. enterprises are reconceptualizing ESM as an intelligent ecosystem that links automation, analytics and design thinking,” said Ashwin Gaidhani, lead author, ISG Provider Lens Research. “They view it less as a technology expense and more as a strategic investment for sustained business impact.”
The report also explores other ESM trends in the U.S., including the growing adoption of platform-agnostic delivery models and full-stack observability for improved data management.
For more insights into the ESM-related challenges faced by enterprises in the U.S., plus ISG’s advice for overcoming them, see the ISG Provider Lens ® Focal Points briefing here .
The 2025 ISG Provider Lens ® Enterprise Service Management — Services report for the U.S. evaluates the capabilities of 30 providers across three quadrants: Consulting and Advisory Services, Implementation and Integration Services, and Managed Services for Converged IT and Business Ops.
The report names Accenture, Capgemini, Cognizant, Infosys, LTIMindtree, TCS, Tech Mahindra, and Wipro as Leaders in all three quadrants. It names Deloitte, DXC Technology, Genpact, and HCLTech as Leaders in two quadrants each. IBM is named as a Leader in one quadrant.
In addition, DXC Technology, Fujitsu, and Genpact are recognized as Rising Stars — companies with a “promising portfolio” and “high future potential” by ISG’s definition — in one quadrant each.
In the area of customer experience, Hexaware is named the global ISG CX Star Performer for 2025 among ESM Services providers. Hexaware 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.
The 2025 ISG Provider Lens ® Enterprise Service Management — Services report for the U.S. 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 (Nasdaq: III ) is a global AI-centered technology research and advisory firm. A trusted partner to more than 900 clients, including 75 of the world’s top 100 enterprises, ISG is a long-time leader in technology and business services that is now at the forefront of leveraging AI to help organizations achieve operational excellence and faster growth. The firm, founded in 2006, is known for its proprietary market data, in-depth knowledge of provider ecosystems, and the expertise of its 1,600 professionals worldwide working together to help clients maximize the value of their technology investments.
View source version on businesswire.com: https://www.businesswire.com/news/home/20251024660442/en/
Press Contacts:
Laura Hupprich, ISG
+1 203-517-3100
laura.hupprich@isg-one.com
Julianna Sheridan, Matter Communications for ISG
+1 978-518-4520
isg@matternow.com
FAQ**
How does Information Services Group Inc. III assess the impact of AI and automation on the effectiveness of enterprise service management (ESM) across different industries?
What specific metrics does Information Services Group Inc. III recommend enterprises use to measure the return on investment from their ESM initiatives?
In what ways does Information Services Group Inc. III expect the integration of ESM with other business systems to evolve over the next few years?
How can organizations leverage insights from Information Services Group Inc. III's report to enhance their customer experience through improved ESM practices?
**MWN-AI FAQ is based on asking OpenAI questions about Information Services Group Inc. (NASDAQ: III).
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