Wednesday, January 03, 2007

Off-shoring / Outsourcing Benefits: Difficult to Ignore

Unable to ignore the many benefits of the IT off-shoring / Outsourcing trend, market researchers are predicting a substantial jump from 20% to 50% in the number of companies that outsource work, mainly to India.

According to the study, cost savings from outsourcing are much too persuasive to ignore. Many, highly aggressive outsourcing campaigns have helped companies to dramatically cut costs and show a significant growth in company profits.

Money saving, large profits, a result of off-shoring / Outsourcing are responsible for the enticingly sweet lure it holds out. As well, advanced technological i.e. secure networks, line / storage leasing all contribute to make it painlessly possible for IT managers on a tight budget, to transition work to an overseas service provider.

As technology becomes cheaper and more reliable, not only multinationals are off-shoring / outsourcing, even small start-ups with under-sized budgets are jumping at the opportunity to make money by joining the off-shoring / outsourcing trend.

According to a lead researcher, sob stories circulating about off-shoring / outsourcing are often due to bad processes followed at home rather than the result of off-shoring / outsourcing work. The trend of off-shoring / Outsourcing payroll, HR and benefits work has proved to be extremely successful, a clear indication that the process works, and can only gets better.

IT managers across the country continue to find they can cut their budgets by as much as 40%, simply by sending work to an IT service provider in India. High savings for top quality work, what further incentive would an IT manager need to off-shore / outsource IT-related work to a service provider.