Achieve high performance via outsourcing

Outsourcing of IT is certainly not a new concept, but it does have renewed focus as businesses are once again questioning whether they should hire additional employees or outsource their requirements to experts in the field. This challenge is always complex and leads to a number of internal conversations. However, for most organizations, the reasons to outsource are far more compelling than the decision to use an internal resource to provide the service.

Here are our top five reasons as to why outsourcing IT could be the best solution for your business:

Reduced staffing costs
Hiring staff can be expensive when recruitment fees, salaries, training, and other costs are taken into consideration – particularly when, after this expense, the best employees are often poached by a competitor. Rather than having the headcount and burden of an IT department, outsourcing to have a third party manage everything on your behalf saves both time and money.

Benefit from economies of scale
Unless you are in the IT business, you are unlikely to have access to the same economies of scale as outsourcing suppliers. It is thanks to this scale that outsourcing helps to drive down costs, costs that should, in theory, be passed on – at least in part – to you, the customer. What does this mean? Put simply, it means that the cost of your service delivery should be lower when outsourced.

Enhance your financial ratio
As a company, you are routinely analyzed and evaluated by external investors and potential future partners on your financial ratio, meaning turnover, profits, and employee count are assessed and scrutinized against one another for their market to book value. When you make the decision to outsource your IT function – or a significant element of it – you position yourself well to improve your ratios. How? By delivering IT services without recruiting more staff internally you have fewer actual employees, spend less on hiring top talent, and reduce your overall book value.

Being at the cutting edge is easier
If IT is not your core business it is less likely that you’ll have the in-house capacity or expertise to be at the cutting edge of technology. Identifying new advancements will continue to prove difficult in this ever-changing tech landscape. An IT services provider who does this day in and day out will have a vested interest in knowing everything there is to know about the latest technologies, and where they can be used to further advantage your business activity.

Identifying IT as a business enabler
Outsource IT service providers, like our team at, also provide consultancy and specialist advice. By offering a combination of industry leading advice and business planning services, outsource providers can offer insights into how your business compares to your competitors and areas of opportunity in which IT could be used to offer a business advantage.

Peace of mind
Some IT issues can be worrisome – disaster recovery, data security, business continuity are all common concerns. Outsourcing to an expert supplier can alleviate many of these worries. And, knowing your IT function is in safe hands you can focus energy on delivering other key business elements. Furthermore, having a robust contract in place should set out roles and responsibilities, as well as service levels, and the consequences and course of action if these are not met, giving you total peace of mind.

Embrace outsourcing
IT is no longer seen as an operational department – it is at the forefront of conversations for offering a strategic advantage. Many businesses recognize that they do not have the expertise to maximize on this advantage and therefore outsource IT to a third party supplier who is an expert. Additionally, as the landscape becomes under increasing threat from data security breaches and also physical breaches of the IT infrastructure, it is more important than ever before to have robust policies, processes, and procedures in place to firstly avoid any attacks, and secondly to recover as quickly as possible in the event of an attack. Again this leads many organizations to outsource IT and rely on a third party who has a greater level of expertise in these areas than they do themselves. Ultimately this leaves businesses with more time and resource to focus on core capabilities and making progressive strides forward in delivering – and exceeding – all areas of their business plan.

Find out more about how ITCL can help with your outsourcing needs.

Leave a Reply

Your email address will not be published. Required fields are marked *