Did you know that the global IT Outsourcing (ITO) market (also called the global IT outsourcing services market) was valued at $715.93 billion in 2020? The same market is expected to grow at a CAGR of 7.7%, reaching a value of $806.63 billion in 2025. Interestingly, the ITO market accounts for 77.5% of the IT services market, demonstrating that most IT giants outsource their projects to enjoy a more streamlined workflow and better profits.
Not sure whether you should be looking into an IT outsourcing services company? Here are 5 reasons why your company will certainly benefit from this!
There’s a significant difference between how companies operate during their initial survival mode, and how they operate during growth mode. When your business is poised to grow, you need a larger team to sustain productivity, along with extra resources to handle ad hoc workflow requirements.
Now, one may think that hiring in-house talent is the right way to go, however, this is a path that can lead to back into survival mode.
You see, it is far cheaper to outsource work, especially in today’s day and age when the gig economy is booming. With the pandemic having forced many talented working professionals to work out of home, many identified lucrative opportunities for freelancing. So now you can take your pick off the top talent without increasing expenditure.
As a part of your company’s leadership, your value comes from understanding the ins and outs of your company, and knowing where to steer the ship. If you’re busy putting out operational fires and continually getting involved in smaller tasks due to a lack of resources, then you’re just halting your company’s growth.
Outsourcing your work leaves you to free up your calendar and focus on big-picture priorities. Let external agencies handle the nitty-gritties of, say, custom software development and content creation, while you focus on networking, bringing in new business, and hitting new goals.
The internet has only made the world smaller, and it’s easier for companies to collaborate with like minded, talented individuals from different ends of the world. Not only does this mean that you can further cut down on costs by using international benchmarks for pricing, but also that you can access knowledge and expertise held by people all over the world.
Often forgotten, a significant secondary benefit of outsourcing, particularly offshoring, is that you’ll be better poised to enter international markets. This is both from a standpoint of opening satellite offices, as well as introducing your product/service to a new market and having a team on standby to handle any customer issues.
This can work out to be far easier and cheaper than building an offshore team from scratch when you’re ready to expand.
If you’re launching your own product, such as a custom software, your team can be stuck with time-consuming tasks such as collecting data, going through each and every bug, brainstorming to implement the ideal solutions and so on. Outsourcing to professionals who have experience in developing custom software solutions means a faster workaround time, as these experts are accustomed to fluid requirements and time crunches. Your internal team, on the other hand, can be utilized for other tasks like marketing the product, selling to other businesses, and performing quality checks to ensure its perfect.
If you believe that you’ll benefit from outsourcing, all you need to do is click here!