In the global economic market today, survival of the fittest is not enough. Changing times, modernization and innovative business practices demand the survival of the smartest. The current market trends show a major shift from in-sourcing to outsourcing. Many businesses today look at outsourcing some of the aspects of their business which may include accounting, marketing, human resource and even Information Technology. In prevailing business practices, outsourcing is no longer considered just a business tactic. It’s a strategic tool to remain competitive in the world stage. Outsourcing is no longer a cost cutting practice, but as many firms believe, is both crucial and essential for growth strategies. Outsourcing not only increases the productivity of your business but ensures that the resources on hand are put to best use thus staying ahead of growing global competition.
If you are a business owner or going to start a business of your own, you may have already thought about which aspects of your business are to be outsourced. In this article, we will consider the ABC’s of outsourcing: Aspects involved, Benefits and Challenges, particularly associated with information technology (IT).
Aspects Involved: As a business owner, the first and the foremost thing you need to know are the aspects involved in outsourcing your IT infrastructure setup. IT infrastructure can normally be divided into two categories; Hardware and Software and
Web Development. The prevailing trend is to use a multi-vendor approach when it comes to these aspects of IT outsourcing.
Hardware: When looking for a vendor to outsource your IT hardware set-up, you may want to consider vendors with good foresight and business acumen. Vendors who have a good experience of working on servers, data centres, computers, switches, hubs and routers for start-ups or established firms and with a good client base are a preferred choice.
Software and Web Development: The most critical part of a company’s IT infrastructure. When selecting a vendor to take care of the Software and Web Development of your firm, just a many number of years of experience is not enough. You need to look at vendors who can provide a range of services which are compatible to your business and which are developed keeping your business module in mind. The vendor should be able to comprehend your business requirements and should be able to deliver intended results with the right combination of tools like
business application development, web content management, ecommerce website designing, software development, business technology, mobile app development and many more. The success of your business heavily relies on getting your vendor right. So cut no corners with this. And you don’t have to, with affordable, reliable vendors available today.
Benefits: The rapid growth and development in hardware and software technologies poses a unique challenge. Keeping up to date with these ever changing trends seems almost a herculean task for your IT guy to do by himself. Outsourcing your IT infrastructure to a professional vendor, will not only help you increase the core competency of your company but will ensure sound up to date advice. By reducing costs on IT purchasing and maintenance, this brings definite financial gain. Outsourcing also accords Flexibility by making multiple resources available to you, which may not be possible with an internal staff and the limited resources and capabilities available to them. High Quality Staff is the lifeblood of a good IT outsourcing company. Top qualifications and certifications come hand in hand with these companies giving you the benefit of experts working for you without the hassle of hiring and managing them.
Challenges: The biggest challenge as discussed is getting the right vendor to outsource your IT function. IT has an overall effect on your entire business operation. Mundane tasks done by your employees to complicated automated aspects depend on having the right vendor who can take complete onus and care of your needs - big or small. Some believe that outsourcing IT can lose effectiveness as you have people working under different management and there is always the risk of data confidentiality and disaster recovery. One of the other challenges that can be faced is when proper documentation regarding the work done on your network and system is lacking from the vendor. In addition, most outsourcing vendors require you to sign a yearly contract with them which reduces your flexibility.
Now that we have considered some of the most important points to consider before outsourcing the IT function of your business, there is a lot to think about. Most of these challenges can be overcome by openly communicating, asking the right questions, having a clear vision regarding your objectives and goals and conveying it.
As you look to grow we hope that you continue to do what you do best and be wise and outsource the rest.
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