How Outsourced IT Services Boost Efficiency and Productivity

The present global business landscape renders IT outsourcing as a deliberate tactic to drive development and efficiency. 

By employing Outsourced IT Support Services, businesses can enhance processes, optimise specific skills, and stay fixated on their core capabilities. 

In this blog we aim to delve into the benefits of Outsourced IT to Businesses. Read on to learn more. 

What is IT Outsourcing?

IT outsourcing is basically the practice of employing external service providers to effectively deliver managed IT services, infrastructure solutions and application services to generate optimal business outcomes. 

The objective of this approach is to make use of external resources to enhance your business functions. It aids to develop the correct sourcing strategies and vision that align with your goals, hand-pick the precise IT service providers, assemble the finest conceivable contracts and direct contracts for justifiable relationships with external providers. 

To attain this goal, you must be extremely selective and critical while you access a high level of skills, leverage state-of-the-art technology and are updated with industry trends. 

The key is to hire the right outsourcing partner for your business. When you implement the right approach, your preferred service provider will assist you to improve your business image and status, certify the eminence of your product and service, create fruitful sales prospects, scale the technical front of your business and thus upsurge your bottom line. 

What are the Different Types of IT Outsourcing?

IT outsourcing is likely to become a norm for companies to grow during a crisis. When it comes to selecting the right outsourcing model, there are many options that you can choose from. Let's briefly go over each one of them:

Offshore

This is about delegating IT related tasks to a company in a foreign country. This choice typically comes with the added advantage of cost savings. For businesses that function inside the EU, this choice is meaningfully more striking while companies in the US would have to tackle this matter of huge gaps in timings among them and Europe. 

Nearshore

Nearshore comprises the process of Outsourced IT Support Services to a company that shares the border with your country. Though travel and communication are easy, there is an issue of limited choices. For instance, the United States only shares its border with Canada and Mexico, so this only limits it with a few pools of companies it can turn to for nearshoring. 

Onshore

This is a process of selecting an external service provider that is situated in the same country as the company that is making the hire, to deliver IT based tasks. This can be done either on site or remotely. 

In this type of model, the local teams are easily reachable, are in the same time zone, speak the same language and also possess the same outlook. This is hence the first option for most cases, yet the talent shortage only renders it difficult to adopt this approach. 

Managed Services

This encompasses the hiring of an external company altogether that offers network management functions and managed IT services like IP telephony, call centres, messaging system, firewalls, network monitoring, reporting, virtual private networks etc. 

Cloud Computing

Cloud computing outsourcing as trending in today’s technological landscape is the concept of hiring an external service provider that provides outsourced IT experts in a virtual manner like infrastructure as a service, software as a service and platform as a service.  

How does Outsourcing IT Services Benefit your Business?

Cost effectiveness

It is a fact that cost reduction from outsourcing IT services is big. This is largely because of the huge gap that there is in the average earnings of software developers in your country and other countries. 

You can easily level out your price and quality rather than comprising one over the other. As you analyse the costs, it is noteworthy to point out that IT outsourcing is not only confined to employee salaries but is much more than that. Lower operating costs like employee benefits, recruitment procedure costs and workplace rentals are also included in this. 

Thus, outsourcing the IT service of your business enables you to deliver better customer service while you remain on budget and cuts down fixed costs versus paying on a usage basis. 

Expand Pool of Specialists

The main reason for companies to delegate their services to experienced outsourced IT company is the difficulty in getting their hands-on qualified experts in the field. There have been a reported 53% companies in Europe which face difficulties in recruiting IT specialists. 

This problem is prevalent in Nordic countries, Germany, United Kingdom, Switzerland etc. They usually rely on support from countries like India, Ukraine, China and Poland. This enables them to have a wider reach to an extensive base of experts that offer rates which are very reasonable.

Focus on core activities

Looking out for a team of software developers is a daunting task for any company and time consuming too. The standard process of recruitment comprises two stages as per the report of its recruitment in 2023. 

Outsourced IT support services for a business means it can now focus on its essential functions that are imperative for the business. Regardless of having your personal software development team with managed IT services, outsourcing these tasks will enable the business to emphasise on the in-house work with comfort and ease while generating effective outcomes.

Flexibility

With outsourced IT services the business can effectively deal with the workload. This serves as a benefit if you need a particular skill for even a short period of time. There is no need to recruit, employ software developers anymore which allows your business boundless flexibility to regulate the number of software developers involved in the project conferring to your existing requirements. 

The Final Verdict

In today’s competitive global landscape, it stands very important for all businesses to outsource their IT services. It does not only cut down costs but improves flexibility of your business, expands your pool of talent, allows you to pay more attention to core activities etc. 

Nevertheless, it is noteworthy to understand that Outsourced IT Support Services brings with it many potential drawbacks. This calls for evaluating your business requirements carefully and clearly outlining the needs and expectations of your business to the outsourcing party.