U.S. Firms Expand ESM for Consistent, AI-Enabled Operations
U.S. Firms Expand ESM for Consistent, AI-Enabled Operations
Information Services Group (III) has released its 2026 ISG Provider Lens® Enterprise Service Management Services report for the U.S., finding that enterprises are expanding ESM across business functions to build AI-ready, autonomous yet accountable operations.
Organizations build AI-ready foundations and prepare service environments for greater autonomy under transparent controls, ISG Provider Lens® report says
STAMFORD, Conn.--(BUSINESS WIRE)--
Enterprises in the U.S. are extending enterprise service management (ESM) across all business functions to improve visibility, consistency and accountability, 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 2026 ISG Provider Lens® Enterprise Service Management Services report for the U.S. finds that ESM increasingly functions as an enterprise execution layer. It connects people, processes and data with intelligent automation across business and technology domains. This trend is leading toward autonomous operational models and changing expectations for how companies should design, deliver and measure services.
“The defining test for ESM is whether intelligent execution can scale while keeping decisions linked to accountability,” said Andy Miears, partner, ISG. “Enterprises that align those elements can increase autonomy while preserving the controls required for reliable operations.”
Many U.S. enterprises begin digital transformation programs with careful assessments of data quality, architecture maturity and alignment of operating models. These reviews determine whether existing environments can support expanded AI use while maintaining appropriate transparency and control. Companies commonly invest in data modernization, operating model redesign and formal AI-readiness assessments as they embark on new programs. They prioritize scalable foundations that support reliable long-term transformation rather than short-term automation gains.
U.S. companies are applying service-management practices across areas including human resources, finance, procurement, facilities and compliance management. Using unified service architectures and shared data layers, they coordinate work across business and technology domains. Service orchestration, capability mapping and cross-functional workflows provide shared mechanisms for visibility and coordination. This model establishes clearer responsibility for ongoing service delivery.
As service environments become more interconnected and data-intensive, enterprises are investing in observability, telemetry and predictive capabilities. These tools improve service continuity with early risk detection, visibility into business impacts and predictive insights across workflows. Buyers increasingly prioritize reliability improvements and continuous optimization over traditional reactive incident response. Operational intelligence supports AI-assisted decisions and intelligent orchestration while maintaining the necessary transparency, auditability and operational control, ISG says.
“Connected expertise is essential for enterprise transformation,” Ashwin Gaidhani, lead author of the report. “Providers that combine strategy, implementation and ongoing operations can help enterprises establish reliable environments for transformation and continuous optimization.”
The report also explores other ESM trends in the U.S., including the growing adoption of experience-led performance frameworks and the rising importance of expected business impact in making funding decisions.
For more insights into the ESM challenges faced by enterprises in the U.S., along with ISG’s advice for addressing them, see the ISG Provider Lens Focal Points briefing here.
The report 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.
It names Accenture, Capgemini, Cognizant, Genpact, HCLTech, Infosys, LTM, TCS, Tech Mahindra and Wipro as Leaders in all three quadrants. Deloitte is named as a Leader in two quadrants, and DXC Technology and IBM are named as Leaders in one quadrant each.
In addition, NewRocket and Ondaro are named as Rising Stars — companies with a “promising portfolio” and “high future potential” by ISG’s definition — in two quadrants each. Birlasoft is named as a Rising Star in one quadrant.
In the area of customer experience, Hexaware is named the global ISG CX Star Performer for 2026 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 2026 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
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 and research, in-depth knowledge and governance of provider ecosystems, and the expertise of its 1,500 professionals worldwide working together to help clients maximize the value of their technology investments.
Erik Arvidson, Matter Communications for ISG
+1 978-518-4542
isg@matternow.com
Source: Information Services Group, Inc.
Key Terms
enterprise service managementtechnical
Enterprise service management is the practice of using a single, organized system to deliver and track all the support and operational services a large organization needs, from tech help to HR or facilities. Like a central dispatch that routes work to the right team and records outcomes, it matters to investors because it lowers costs, reduces service disruptions, makes performance more measurable, and helps a company scale and respond faster to customers and regulators.
service orchestrationtechnical
Service orchestration is the automated coordination of multiple software services and processes so they act together to deliver a complete business function, like a conductor organizing musicians to play in sync. For investors, it matters because effective orchestration can speed product launches, cut operating costs, improve reliability and scalability, and therefore boost a company’s efficiency and competitive edge — all of which can affect revenue and margins.
observabilitytechnical
Observability is a company’s ability to see and understand what its software systems are doing by collecting and analyzing signals like logs, metrics and traces. For investors it matters because strong observability reduces the risk of downtime, hidden bugs or security issues, supports faster fixes and efficient scaling, and therefore can protect revenue, lower costs and signal disciplined operations — like having clear gauges and alarms on a complex machine.
telemetrytechnical
Telemetry is the automatic collection and transmission of measurements from remote devices, systems, or patients to a central system for monitoring and analysis—like a car sending engine, speed and location data back to a dashboard. For investors it matters because telemetry provides real-time evidence of product performance, safety and user behavior, helping assess revenue potential, operational risk, regulatory compliance and whether a product is meeting market demand.
auditabilityregulatory
Auditability is how easily a company’s records, systems and transactions can be checked and verified by independent reviewers. Like a recipe with clear steps and labeled ingredients that anyone can follow to reproduce the dish, strong auditability helps investors trust that reported results are accurate, reduces the risk of hidden problems or fraud, and makes regulatory and financial reviews faster and more reliable.
