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What is IT outsourcing and why do companies do it: pros and cons?

You have surely heard something about IT outsourcing and are maybe even thinking to use it for your company. If you want to know more about what is IT outsourcing and decide whether you need it in your company, keep reading.

Outsourcing: what is it?

Outsourcing is a process of transferring part of the business tasks to a Managed Service Provider (MSP), for example, The customer company hires the provider company (or, sometimes one specialist) to carry out some specific tasks which customer can’t solve by himself or it is unprofitable for him. The companies most often use IT outsourcing services like web and mobile app development, cloud computing services, customer support services, administration services, etc.

Outsourcing IT services, as well as in the other areas, may be difficult for customers who are used to keeping abreast of all the company’s processes. But sometimes this is a necessary measure.

More detailed familiarity with the features of IT outsourcing will help you make the right decision about its usage.

Why do you need to outsource?

At first, we can take a look at the advantages and disadvantages of outsourcing. If you make a deal with IT outsourcing company you will have the next benefits:

  1. You will collaborate with professionals. Usually, providers concentrate on a narrow area and deeply explore it. So, your future partner may have specific experience and successful cases with tasks similar to yours.
  2. You will better allocate your in-house recourses. With MSP’s help, you can redirect the recourses of your company to other tasks and become more competitive.
  3. You don’t need to hire new specialists one by one. So you save your time and don’t need to expand your in-house team.
  4. You can reduce your costs. You’ll hire the professional team, which will cost you less than hiring new employees. Also, you do not need to buy some specific technic or equip new workplaces.
  5. You don’t need to prepare for problem-solving. Hiring the provider, you can expect that he will start working immediately because he has all the technical equipment and may have the ready solutions for your project.

On the other side of all these benefits, there are a few drawbacks. You may have trouble with management, quality of MSP’s work or leak of sensitive data. All of these disappear with an experienced and reliable provider and well-written contract.

Wrapup: how to outsource & get only the benefits?

To start outsourcing your IT tasks, you need to find a reputable MSP, whom you can trust. Try to find some feedback about the third-party company from their previous customers. Feel comfortable to ask any questions, especially about work details and successful cases.

You need to understand if this provider suits you or not. Then discuss with MSP the Scope of Work and project specifications. Don’t forget to sign the non-disclosure agreement (NDA) and other documents to protect your company and data. As you see, with a reasonable approach, IT outsourcing becomes quite an efficient and safe process.