Advantages and disadvantages of IT outsourcing

Before you understand what the advantages of this type of activity are, you need to understand the very concept of “outsourcing”. This is the performance of services by an external organization specializing in this particular type of activity, which are not related to the main direction of the company. Due to this, companies can reduce expenses for secondary works and related tax expenses.

What is the IT outsourcing for?

IT outsourcing allows the company to reduce the cost of ownership of the information system. Due to such activity it is possible to distribute assets efficiently. With the help of the contract concluded with the IT organization, it is possible to guarantee that both the computer system and the problems of all computers will be solved with maximum quality, reliability and efficiency. In such a sphere of services as IT outsourcing, business tasks can be solved easily and quickly. This type of service is especially popular among young enterprises, which strive for active and intensive development, but do not want to spend time and money on their own IT specialists.

Without the competent involvement of the latest developments in the field of information technology, the successful operation of any enterprise today is quite difficult to imagine. To solve operational issues, many companies are ready to attract outside specialists contractors, ordering IT-outsourcing – subscriber service of computers, servers, network and peripheral equipment, telephony. What are the advantages of this service, and what stops those who are trying to do in solving the operational issues of IT services by their own efforts?

Advantages of IT outsourcing

Significant reduction of expenses for IT services operation. Services of professionals are cheaper at the expense:

  1. simultaneous performance by the contractor of many typical tasks (usually for several customers at once);
  2. narrow specialization of the contractor.

Clear control over the cost of IT services operation, because:

  • works are performed according to the contract (service quality level agreement, SLA) and have a strictly agreed budget;
  • SLA parameters can be changed according to the customer’s wishes, i.e. any change in budget, both upward and downward, will be agreed in advance.

Noticeable improvement in the quality and efficiency of IT services due to:

  1. availability of a solid contractor’s experience in the required specialty;
  2. opportunities to involve employees of the firm who are familiar with the specifics of its work “from within”.

Maximum concentration on the main (core) business tasks, as the performance of auxiliary tasks does not require additional control (the degree of interaction between the customer and the contractor is described in the contract).

Disadvantages of IT outsourcing

Low qualification and unfairness of some contractors, entailing risks:

  • information leaks;
  • low quality of service;
  • increase in the final cost of the ordered service.

Excessive isolation of the process given to the contractor for execution, as a result of which the contractor may make erroneous (inadequate) decisions affecting the core business of the company. But if you choose it outsourcing company competently and consistently, the shortcomings of outsourcing can be avoided in most cases. And, despite the existing shortcomings, IT outsourcing is considered by the majority of modern managers as a necessary condition for further successful development and competitiveness of their own enterprise. So use modern tools rationally, because in the end you will have the opportunity to achieve excellent results.