Outsourcing: no longer the villain

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It really is refreshing to see that outsourcing is no longer only a cost saver for businesses, but something with real strategic importance (although we knew that all along really!).

Harvey Nash, the recruitment and IT outsourcing consultancy, has recently carried out their ninth annual outsourcing survey, and at last, outsourcing hasn’t come out as the bad guy!

The survey has identified what I’ve always known, that outsourcing is booming and businesses are finally recognising the potential strategic benefits as well as the operational cost savings.

It’s about time businesses realise that there’s more to outsourcing than just operational cost savings. Look at KPO. The specialisation that outsourcing brings can deliver a number of strategic benefits such as responsiveness and flexibility, as outlined by Harvey Nash. However, it’s important not to dismiss the cost element. Cost is still a key driver when companies make the decision to outsource and they shouldn’t be shy to admit it.

With over half of CIOs expecting their IT budget to grow next year and planning to spend more than 10 percent on IT outsourcing programmes, the outsourcing industry will continue to grow and become an integral part of many business making decisions. Outsourcing is here to stay and hopefully the ‘taking our jobs’ attitude will become a distant memory.

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