More and more companies around the world are switching to a business model based on outsourcing. The benefits are numerous, including increased effectiveness and cost savings. And the risks? Well, if you approach outsourcing thoughtfully, you can avoid them. Here are some ideas on how.
Popularized by large corporations, outsourcing is gaining popularity in the medium and small business sector. Any company, regardless of its size, can benefit from this model. By seeking the support of an external company to meet the demand for skilled workers, you can avoid starting a large-scale recruitment process, saving time and money.
Also, cooperating with IT outsourcing companies can be a great way to take a load off your employees, which can unlock their creativity and increase their effectiveness after all. For the internal IT team, working with an external partner can be like a breath of fresh air.
However, you may also encounter some outsourcing-related difficulties along the way. Get ready for them to take advantage of all the benefits of outsourcing without falling into the most common traps.
#1 Verification of the competencies of the outsourcing partner
In the case of IT outsourcing, the scope of outsourced services is wide: from service desk and help desk services to software development. Although the “can do attitude” is one of the most reproduced requirements in all kinds of job offers, we do not recommend cooperating with an outsourcing provider that follows this motto. In the IT industry, precision and specific core competencies are a must. So if outsourcing service providers offer you a multidisciplinary service, it is crucial to check their portfolio, references and certificates. It is worth scheduling a meeting with the internal team to check whether the cooperation is running smoothly.
#2 Choosing the outsourcing model
There are three basic outsourcing models: offshoring, nearshoring, and onshoring. The difference between them is the distance between the company and the outsourcing provider. In the case of close outsourcing, the two are usually located in the same time zone, often in neighboring countries. Onshoring is a cooperation between two companies from the same country. Both are increasingly popular alternatives to the offshoring model.
#3 Solving problems related to culture
Offshoring often links partners in developed and developing countries. Companies outsource to distant locations for one simple reason: it’s the best way to cut costs. But it often comes at the price of problems rooted in the cultural background. They can manifest themselves in misunderstandings, conflicts and delays. However, if the company decides that offshoring is the best model for growing its business, it can minimize the risk of such problems by hiring an intercultural skills specialist. Training project managers in this context can work miracles!
If you are looking for an IT outsourcing partner to support you in business transformation or conduct an IT infrastructure audit, check out Eskom IT.
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Categories: Technology
Source: vtt.edu.vn