Freshworks launches standalone Freshservice for business teams

Freshworks has announced that Freshservice for Business Teams is now available as an independent offering, no longer requiring deployment alongside its IT Service Management (ITSM) platform.

The move aims to help non-IT departments such as HR, Finance, and Legal manage requests, automate workflows, and improve employee support without relying on legacy IT tools. The shift reflects a broader trend in enterprise service management (ESM), where organisations are unifying internal support operations under a single, AI-driven platform.

Rising Demand for Cross-Functional Service Management

According to the latest Freshservice Benchmark Report, one in four existing Freshservice ITSM customers has already extended the platform to non-IT functions. This adoption has helped double Freshservice for Business Teams’ annual recurring revenue, now exceeding USD 35 million as of September 2025.

As modern enterprises focus on efficiency and experience parity across departments, the ability for non-IT teams to deploy and manage their own service environments has become a strategic advantage.

“Business leaders need to move fast, but keep getting stuck with tools never designed for departments like HR or Finance,” said Srini Raghavan, Chief Product Officer at Freshworks. “Enabling non-IT teams to design their own support environments is a force multiplier; it allows those closest to business processes to shape the experiences employees actually need.”

AI-Powered Support for Non-IT Workflows

At the core of the platform is People-First AI, designed to automate routine tasks such as account verification, document retrieval, and request fulfilment. The AI capabilities also assist support agents by generating response drafts, summarising tickets, and managing workloads dynamically.

Organisations such as the University of Oxford have adopted Freshservice with Freddy Copilot AI to scale IT and HR service operations, highlighting its adaptability across multiple departments.

Unified Service Delivery Across Functions

Freshservice for Business Teams centralises tools, data, and workflows to minimise departmental silos. Databricks, for instance, reported a 23% ticket deflection rate after adopting self-service capabilities and extending the platform to eight additional departments, including HR and Legal.

“Consolidating from ten different platforms to one intuitive system not only improved employee experience but also saved significant costs,” said Pradeep Singh, VP of Infrastructure and Operations at Databricks.

Simplifying HR and Employee Lifecycle Management

Freshservice’s prebuilt workspaces and workflow templates simplify complex HR processes such as onboarding and offboarding, enabling faster setup without heavy customisation.

For Coherent, which employs over 25,000 people, the platform consolidated HR compliance data and improved both new-hire and exit workflows.

“Our goal is to build a one-stop shop for employee experience, and Freshservice remains central to that vision,” said Anantha Ganga, CIO at Coherent.

No-Code Customisation and Integrations

One of the platform’s defining aspects is its codeless configuration, allowing teams to deploy portals and workflows without developer intervention. Integrated security, governance, and delegated administration help maintain compliance.

Built-in integrations with tools like ADP, DocuSign, Workday, Microsoft Teams, Slack, and Bamboo HR further streamline deployment.

EDF Renewables has used the platform to extend service management beyond IT to departments such as facilities, leveraging tailored workspaces for each function.

Enterprise Context: Addressing Fragmentation and Cost

Freshservice for Business Teams offers an alternative to traditional IT suites or fragmented HR tools, focusing on fast time-to-value, orchestration, and lower total cost of ownership.

Industry analysts note that as organisations prioritise employee experience and operational agility, there is a rising demand for ESM platforms that deploy quickly without heavy customisation.

“Improved employee experiences and faster resolution times are top priorities,” said Snow Tempest, Research Manager at IDC. “Enterprises need solutions that streamline processes and reduce complexity across multiple departments.”

Analysis: The Next Phase of Service Management

Freshworks’ decision to separate Freshservice for Business Teams signals a structural shift in enterprise software, from IT-led to business-led service delivery.

By giving non-IT departments autonomy to manage workflows while maintaining central oversight, the platform underscores a broader transformation: the democratisation of service management through AI, automation, and low-code technology.

Conclusion

The standalone launch of Freshservice for Business Teams reflects the changing nature of enterprise operations, where efficiency, scalability, and employee experience now take precedence over siloed IT frameworks.

By combining AI-driven automation, codeless configuration, and cross-functional integration, Freshworks is aligning service management with the needs of modern, distributed workforces, enabling faster, consistent, and more connected support across every department.

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