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How to Focus on Growth, Access to The Right Talent, and Reduce Costs

Is IT Outsourcing The Answer?

Emma Stott, Customer Service Director at Chess, reviews why organisations look at IT outsourcing. She covers:

As more businesses learn to strike that balance between quality and cost, outsourcing is becoming a more commonplace tool for cutting expenses. It allows companies to focus on activities they are inherently good at rather than waste time forcing in-house staff to do and learn more beyond their scope of work.

With the ever-changing world of technology and systems becoming increasingly complex, businesses need a professional IT department to ensure their system works well. Companies can completely outsource services like network administration, database administration, and operation of IT systems.

Choosing to outsource can be tricky, and many people still have questions about the benefits and drawbacks. Hopefully, this article will answer any questions and help you decide if outsourcing is right for you.

Benefits of Outsourcing

Reduces Costs

Cost is one of the primary driving forces behind outsourcing. What makes all the difference are the costs-per-hour as well as a general reduction in utility expenses.

When you outsource, this means having fewer employees to keep in an office. As a result, your office space can be smaller, and your electricity and other utility costs lower.

Good outsourcing providers also have the right software that enables the most efficient service. You don’t need to invest in the same tools and systems. All of this cuts back on your overheads.

 


 

""Using Chess to renew our mobile phone contract was quick and easy. Chess discussed our requirements and understood some of the challenges we were experiencing and therefore were able to shape a new contract to meet our needs."

- Nicola Whiting, Head of IT, New College Durham

 

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Grow Your Business

Your core team might be fantastic, but nobody is perfect at everything. You may only hire from a small, local talent pool when recruiting in-house, so you often have to compromise. Outsourcing gives you access to highly qualified professionals. If you need specialised help or support, especially around cyber security, or the dull yet necessary hardware and software upkeep, it often makes sense to expand your search.

 

Access Advanced Technologies

Companies must explore a wide range of cutting-edge technology if they want to stay competitive in their market. Nevertheless, investment in innovation is not easy as it requires a large amount of capital, and it can be challenging to adopt the new technology. So, at this point, outsourcing will help businesses whilst still being able to incorporate new and modern approaches without spending too much money.

 


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Challenges you may encounter

Outsourcing can be a fantastic way for businesses to drive efficiencies when deployed with care. Next, I list the key areas to consider when building your plan.

Communication Issues

Communication is essential to success. While this isn’t always a challenge, it’s one of the most significant potential drawbacks. You need to set clear expectations upfront. Write a detailed scope of work before you start reaching out to possible outsourcing partners - determine your business goals and requirements, and then decide on your preferred communication method. Remember that technical expertise is critical for the success of any outsourcing agreement.

 

Lack of Control

Critics of IT outsourcing will say that outside providers cannot match the responsiveness and service levels that an in-house team can deliver, mainly because they are not subject to the same management direction and control as your own people. So although you can provide direction, you still give up some control. Finding a trusted partner with experience in your industry and the technology stack you use will help you mitigate the problem.

 

Impact On Company Culture

Outsourcing doesn’t always affect your company culture. However, you need to protect the morale before starting your IT plan, which typically means discussing your decision with any employees who could be impacted. A positive work culture leads to a higher level of productivity, and you don’t want anything to jeopardise this.


 

 

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Summary

Outsourcing can bring many benefits to a business, and while challenges and risks need to be addressed, technology can efficiently bridge these gaps. As IT advancements accelerate, outsourcing is not only becoming more popular but is also becoming a necessity for many.

A partnership with an experienced and trustworthy provider can help you launch your business forward and deliver growth. Chess has provided customers with a cost-effective IT outsourcing service for everyday tasks and long-term strategic achievements.

Get in touch with our expert team to find the level of service that best suits your business. Start your free consultation today.

About the author

uSkinned

uSkinned, the world’s number one provider of Umbraco CMS themes and starter kits.

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