As companies try to further streamline their operations, outsourcing has increasingly come to the forefront as a viable solution. According to a Wall Street Journal report, companies worldwide are outsourcing various functions, including legal, human resources and IT, in increasing numbers. The WSJ was citing findings published by Deloitte Consulting.
In the Global Outsourcing and Insourcing Survey, more than 53 percent of companies responding to the 2014 survey were already outsourcing IT services. “Moreover, half of those who aren’t currently outsourcing IT services plan to do so soon,” said Marc Mancher, a principal with Deloitte.
With the challenges facing IT professionals, including uptime, cybersecurity risks and increased demands for data, many companies are realizing the efficiencies gained by outsourcing instead of hiring and building. Here are 3 things to consider when trying to decide what’s right for your team.
- The need to scale. If your business is growing at a rapid pace, that’s a good place to be. But it can be challenging; depending upon the rate of growth, the company may need to quickly adapt to increase computing power and hire IT expertise. Instead of building out additional equipment, outsourcing your IT needs could give you the quick solution you need. Likewise, if your company goes through highs and lows as part of its normal operations, an outsourced solution can flex with your needs.
- Enhanced security. With cyberattacks spiking (the U.S. government alone cited 77,000 incidents in 2015), companies, organizations and other entities are under increased pressure to keep up with cybersecurity measures and technology to protect data. Without specialized resources and staff, many companies are relying on the expertise provided by external IT specialists. A team that’s dedicated to keeping up with all aspects of the industry, including technology and security, could provide you with the expertise you need without going through an extensive hiring process.
- Cost effectiveness. A natural outcome of outsourcing instead of building out facilities and hiring specialists is cost savings. Of course, a company will have to determine if its needs will be sufficient enough to merit planning an internal solution as part of an expansion. However, the expenses could be more costly compared to outsourcing. It pays to take the time to do a cost comparison.