In our time, a huge number of companies have resorted to the services of third-party service providers. Nowaday this process is called outsourcing. For some projects, outsourcing suits as well as possible.
Outsourcing advantages are revealed during the initial studies of the project. It’s possible to find out that the company doesn’t have the necessary skills to use the available tools and achieve the required results, the time is too long or it may be much more beneficial to use an external service provider to complete the development at this stage.
We will narrate about IT outsourcing in this article.
Despite the fact that IT outsourcing has a large forms variety there are three main forms in it:
- A Resource Outsourcing. The client uses and manages external IT resources in this option. However, he doesn’t cary all the risks that are associated with the result of his activities.
- A Functional Outsourcing. The company-customer transfers the functions under the stewardship of outsourcer in this option. The service provider’s responsibility, as well as the criteria for his operation in this case are stipulated in the agreement. Such criteria may include: the fast response to various incidents, the prevention frequency, the recovery time after the failures, etc.
- A Strategic Outsourcing. A complete transfer to the complex IT outsourcing of the entire company’s IT infrastructure is carried out in this casу.
The main outsourcing advantages are listed below:
- First of all, this practice will free the company’s staff (in our case IT staff) from routine and non-core tasks;
- Also, the company’s employees will be able to concentrate their efforts on the main business functions due to the non-core tasks absence. The main goal of any business is the company growth, which is why the company’s employees should be concentrated on the initial tasks;
- Outsourcing allows to reduce the financial burden on the company. The company won’t have to buy special equipment, monitor new IT tools and spend the budget on staff training. It is worth noting that the IT field never stands still. Every day there occur new solutions for the websites and applications development in the world. Only specialists in this industry can follow the novelties in the IT world and use them expediently.
- The outsourcing advantages include the freedom to choose contracting companies. The WEF Global Information Technology Report 2006-2007 listed the most developed countries in the IT industry. It’ll be possible to choose an outsourcing company that will be able to provide the most popular and up-to-date development tools, regardless of the location of the company that attracts outsourcing solutions having studied this document. Simply put, it’s possible to cooperate with an outsourcing company from Singapore while being in Poland.
- It is worth noting that outsourcing IT companies have a lot of experience in their field and can provide the most appropriate solutions for solving problems. Even if the outsourcing company doesn’t have the capacity to resolve the task, it can always seek help from another IT company that can help with product upgrades. In other words, the third-party technical support is worried about the product and is done everything possible to achieve success.
- The outsourcing advantages make it possible to take the company to a new level or even to a new market. In the technology world most of the business is trying to get some of the potential customers in the IT field. With the help of outsourcing companies, it becomes possible to introduce new industries into their firm, while retaining financial capital.
- Do not forget about the responsibility for the product. Outsourcing companies are always responsible for the product they create. In any case, the firm that uses the services of third-party specialists will not incur a loss in the event of poor project performance. But it should be said at the beginning of cooperation about the responsibility contract, in order to avoid embarrassing situations in the time of delivery of the project.
- Do not underestimate the projects management, sometimes the success of the whole project depends on it. There is always a project manager in a good outsourcing IT company. In this case, the firm that works with outsourcing specialists doesn’t need to monitor their work. It isn’t necessary to allocate additional human and financial resources for conducting projects on which the company doesn’t specialize. This will take professionals from an outsourcing IT company.
- There are also cases when the firms employ outsourcing companies to train staff on new skills and expand their business within the company. The outsourcing advantages consist a possibility to choose the most suitable outsourcing specialists who can train regular staff. The work and examples of outsourcers always show the company’s level.
- The constant technical product support has a great importance in the successful development. As stated earlier in the article the IT world is developing at a fast pace and it’s always desirable to comply with the IT laws. Most outsourcing companies provide “lifelong” support and product updates. In this case, the mercenary firm doesn’t need to worry about product upgrading.
First of all, the IT outsourcing advantages consist in cooperation only with qualified specialists, whose duties include the prompt resolution of situations that arise with the programs used in the company. The outsourcing company will provide competent recommendations for the selection of the technical equipment of the enterprise, relying on the requirements of the software being developed through consulting support. Also, it will help to choose the right software planned for purchase to accompany the main activity. This is especially true at enterprises that have a ramified network of offices in different city locations or remote settlements.
The IT outsourcing advantages, considered above, provide unique opportunities for firms. Involvement of third-party programmers and testers will completely forget about the need to search for relevant specialists, and cooperation with a truly qualified team will eliminate the possibility of stopping the production process.