The Word is Out: Outsourced IT is In

As we work with more and more clients in various industries, we’re seeing that companies are spending more with Outsourced IT providers than ever before – in fact, a recent survey showed that 76% of mid-sized firms expect their IT outsourcing budgets to rise in the coming years.

Why? It’s true that outsourcing IT functions can save money, but that’s not the only reason to consider it, or even the most important one. Here are a few more:

• Control costs. Cutting costs may not be the only reason to outsource your IT functions, but it is a major attraction. IT outsourcing converts fixed costs into variable costs creating a “spend what you need” environment, it releases capital for investment elsewhere, and allows you to avoid large expenditures in processes and personnel.

• Increase efficiency. Companies performing all business processes themselves have much higher costs in research and development, marketing, and distribution costs that are passed on to the consumer. Outsourced IT provides a cost effective way to utilize efficiencies of scale.

• Reduce labor costs. Hiring and or training staff for short-term projects can be costly. Outsourcing lets you focus your human resources where you need them most.

• Level the playing field. Most small firms are unable to match the in-house support that larger companies possess. Outsourcing IT can help small firms perform “big” by giving them access to the same economies of scale, efficiency, and expertise that formerly were only accessible by larger firms.

Focusing on efficiencies has far reaching effects throughout an organization. Outsourcing your IT can increase the overall performance of your company allowing you more time to do what you do best.