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IT Outsourcing:
Outsourcing refers to the process by which companies use external
providers to manage or maintain certain aspects of their company's
business.
Typically, IT outsourcing has been one of the main
areas that businesses have relied on external vendors.
More recently, other areas of the company have begun to
be outsourced, including payroll, human resources and
other functional areas that are determined to not be part
of the company's main business. Outsourcing now also refers
to the increasingly common practice of using vendors outside
of the country - there have been many media reports of
the recent wave out IT jobs outsourced to places like
Dubai.
For companies, there are often many advantages to outsourcing,
including possible reduction in cost, improved efficiency, and the
additional of outside expertise that a company may not have, or be
able to build, internally. Outsourcing things like IT to foreign
locations, although often criticized in the media, often allows the
company to save significant costs that can then be reinvested in other
areas like sales and marketing - often creating new jobs. There can
also be disadvantages to outsourcing, including the creation of
possible communication problems, loss of direct knowledge within a
company, and difficulties managing the outsourcing process. As always,
if you are considering outsourcing for your company, be sure to
research the various outsourcing vendors available to make sure you
find one that fits your needs.
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