Outsourcing is hiring a third-party organization for development, IT maintenance, finance, compliance or other services. In the world of IT, outsourcing means hiring another organization for services that would either be cost-prohibitive or are outside your core area of expertise. A popular example is outsourcing IT maintenance or development work to a different company.
If you’re thinking of outsourcing, you’re not alone. Well-known global brands such as WhatsApp, Slack, Alibaba and many more have outsourced development needs to ensure quality work with reduced costing. Additionally, research from IBM revealed that organizations who are growth seekers use outsourcing as a tool to optimize their business. The report also stated that only 28% of organizations use outsourcing for reduced costing.
Here are the main reasons why you should try outsourcing:
1. You save on labour costs
Reduced costing is a primary motive for outsourcing. Outsourcing helps you access a world-class pool of talent with the expertise you need without compromising quality work. An outsourcing provider with a global talent pool such as Volumetree can help you find the right talent at the right price. Additionally, you do not need to manage risks such as regulatory, unions and licensing—which are now the responsibility of the company to which you outsource.
2. You get access to a large talent pool
Outsourcing helps you to get access to world-class talent from around the world with the specialized skillsets that you need.
3. You do not have to hire additional resources
Hiring a full-time resource is expensive—each resource requires training and benefits in addition to salary, raking up your expenses and severely limiting the number of people that you can hire. With outsourcing, you can save all these costs and invest in getting an additional outsourced workforce from your provider.
4. Access to state-of-the-art technology
Outsourcing helps you to access world-class technology by outsourcing elements of your product, project or solution that are beyond your core area of expertise.
5. Improved business focus
Outsourced technical talent will drive business growth for you by ensuring timely delivery of your products and substantially reduce your time to market.
The world of IT is diverse—and agile. IT Technologies evolve and change faster than the phases of the moon. This constant evolution makes it difficult for companies to invest significant resources for quality work to adapt to these growing needs. Additionally, budgetary limitations can often overshadow needs and require reduced costing, which can cause you to lose out on a specialized workforce.
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