Outsourcing has become a global business trend with worldwide impact. Technology has made outsourcing a viable option, irrespective of geographic location of the clients and service providers. Companies began to explore a new strategic role of IT that was more than just reducing costs, but rather to create more value, productivity and Competitive Advantage. The new initiative is called Strategic Outsourcing.
The combination of both internal core initiatives and external strategic outsourcing, allows organizations to deliver better business results. According to leading analysts like Gartner, Forrester and Boston Consulting, 70% of leading enterprises will adopt Strategic Outsourcing as a core discipline in the near future.
Few benefits of Strategic Outsourcing:
- Focus in-house resources on core functions
- Reduce and Control Operating Costs
- Gain Access to World-class service providers
- Accelerate Re-engineering Benefits
- Mitigate Risks
- Improved quality
- Increased flexibility
- Improved time-to-market hence improve productivity
- Increased access to diverse technologies
- Stabilize Information System costs
- Reduce technical obsolescence risk
Once the outsourcing decision has been made, the next piece of puzzle is the delivery model. As the global economy emerges, companies are vying for global resources, to meet their business goals. One of the popular delivery models now being considered is offshore outsourcing.
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