Outsourced It Services have been around in one form or another since the birth of the silicon revolution. The process of outsourcing is defined as when one company hires another to handle functions that traditionally were done by internal resources. Outsourced IT Services often include, web site design, web hosting, eCommorce site production, search engine optimization, search engine marketing as well as many other computer and internet related tasks. Businesses of all sizes are now outsourcing tasks to companies who specialize in a particular service either onshore or offshore.
Companies have various motivations for using Outsourced It Services, the most compelling being a reduction of costs. Outsourced It Services are usually specialists that can significantly reduce the cost of performing your desired task by spreading the cost of special equipment, software licenses and high tech manpower over many more jobs as compared to your company. For instance, if you were to hire a programmer with a salary of one hundred thousand dollars per year, you’d have to include employee taxes, health benefits, unemployment insurance and other expenses associated with manpower. More alarming, you would most likely only have one or two major projects for him to work on. Which could mean a lot of time waiting around for more work, which translates into lost productivity. Outsourced It Services, on the other hand, are able to utilize their employees with near one hundred percent task saturation. If they aren’t working on your project, then their salary is paid by a different or multiple clients. Basically, you only spend money on the time you need, not for idle time.
Using Outsourced It Services also lets you concentrate on your core business items instead of becoming IT savvy yourself. It means that you’ll be able to focus on high level management concepts for your web development, web design, graphic design or custom programming project instead of having to deal with the details of implementation or managing an employee.
When choosing Outsourced It Services, it’s important to consider what’s most compelling about your needs. You must decide whether costs, quality, liability or security is the driving factor in your decision making. If costs are the major factor, then using offshore outsourcing is the cheapest way to go. The drawback with offshore outsourcing are language barriers, time differences and liability. To offset those disadvantages, it’s best to use an onshore the specializes in managing outsourced resources. Such a company will have more experience dealing with offshore cultures, laws and time difference. Also, the onshore management will provide more security as well as have to answer to the domestic legal system when it comes to resolving disputes.
If quality, security and liability are your main concern, then hiring a domestic outsourcing company is the way to go. You will pay a higher price for an all domestic solution, but, security and rights to use local courts to and contract breeches are assured.
Outsourced IT Services are here to stay. As the world embraces these concepts, small and medium sized businesses must adapt in order to remain competitive.