As the owner of a business, you have probably entertained the thought of outsourcing some aspects of your business. The benefits of outsourcing seem obvious especially when considering you will be leveraging on the support of an experienced and committed team. However, there is more to outsourcing your IT needs than the bottom line. This post looks at some of the important things you need to familiarize yourself with before deciding to outsource.
There are innumerable reasons why businesses choose to outsource their IT needs. The top reasons include the following:
- Reduce operating costs. Outsourcing helps you eliminate costs associated with hiring, managing and training your employees. You will also not deal with employment taxes, health insurance or retirement plans.
- Improve business focus. You can’t be a jack of all trades. Outsourcing to an IT service provider helps you focus more on the core competencies of your business.
- Access to excellent capabilities. Instead of the knowledge of a small team, when you outsource, you benefit from a collective of experience of an IT team. You get to work with a team with proper industry training and certifications.
- Access more resources. In addition to having the training and the experience, when you outsource to an IT team, you will be able to access resources you never had internally. The outsource team will also liaise with other service providers in case they are not equipped to handle a certain problem.
- Make capital funds available. After outsourcing, you can spend the capital funds on items that are related directly to your products or customers.
- Reduce risk. Outsourcing will help keep up with new technologies and changes in regulations.
The above are some of the many benefits you will get from reputable outsourcing companies like Bay Computer Solutions. Make sure you hire from a company with a proven track record.
Outsourcing is not without risks. Before you consider outsourcing, you have to be aware of these risks:
- Not all IT functions are easily outsourced. IT affects the whole organization. Always make sure that you outsource to a vendor that is qualified to take care of you needs without failing.
- You may lose control. Critics state that outside vendors will never be as reliable as a full-time employee. Confidentiality may also be lost. To avoid these risks, you have to hire a supervisor that is knowledgeable in managing the IT staff.
- It may affect employees’ moral. This is true if you will lay off some employees once you outsource. Other employees may wonder whether their job is secure.
- You may be ‘locked in’. This happens if the contract was inconclusive or if you purchased proprietary software from the third party.
Other than that, the rewards of outsourcing are innumerable. They include:
- Cost saving
- Access to the latest and the best in technology
- Job security and burnout reduction for the regular employees
Now that you understand the benefits, risks and rewards, it is up to you to hire the best outsourcing company available. Don’t be in a hurry to choose just any company. Choose a company you can count on.
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