Outsourcing Tech is Tricky—Here’s How to Develop a Winning Strategy

outsourcing tech is tricky

With in-house expertise often difficult to come by, companies of all sizes are now turning to outsourcing for their tech solutions. While there’s certainly no shortage of talented IT professionals in the North Alabama area, many SMBs lack the resources required to satisfy their digital needs. Budgeting and allocating funds needed for daily operations and special projects are a frequent struggle.

Common Outsourced Technologies

Outsourcing is a cost-savings tactic that also functions as an effective strategy for overall business growth. More and more businesses are beginning to realize the benefit of turning to a third-party provider for tech support to avoid being bogged down by functions outside their expertise. The tricky part often comes in determining which tasks to outsource.

Core data processing, network design and management, help desk support, vendor management, disaster recovery, internal auditing, and business continuity planning are just some of the IT tasks and processes companies are outsourcing.

If you’re debating whether outsourcing technology is right for your company, it helps to consider three things: cost, benefit, and risk. Is it better and friendlier to your bottom line to do it yourself or pay someone else to do it for you? Capital investments, the expenses related to in-house staff, and ongoing expenses all need to be weighed.

Ready to make the IT outsourcing leap? Here’s what you need to know to devise a thorough strategy.

Essential Guidelines for Tech Outsourcing

As every company’s core functions differ, no two outsourcing strategies will be alike. These 4 questions, though, can help you make the right decision on whether and what to outsource.

  1. Are the tasks within your current staff’s core competencies? If not, but you consider them critical to future success, they may be the functions to outsource in order to improve quality, drive value, and scale faster.
  2. Can the function be performed following set rules and procedures? Those that can are ideal candidates for outsourcing. For example, while your company should be responsible for overall security policies, IT security functions can be effectively administered by a third party.
  3. Do you need to scale for rapid growth or seasonal volume? Working with a third party can provide cost-effective scalability. Choose the right outsourcing partner and you get the solutions you need to meet the challenge of ramping up for unexpectedly brisk growth or for seasonal peaks.
  4. Will outsourcing improve your business and have a positive effect on its bottom line? Saving money is a great benefit, but you should consider whether outsourcing will help you improve productivity and risk mitigation, increase security, obtain consistency, and help you achieve your overall business goals.

Many companies decide to outsource for the simple reason they want to focus on their core offering. Things like providing customer service and tech support are a necessary part of doing business, but they are not what you’re in business for. Outsourcing frees up resources to let you focus on developing new products and services while growing your business.

Getting the Best Out of Your Outsourcing Partner

Outsourcing tech should add value, not merely cut costs. To make sure that happens:

  • Create a detailed list of your core competencies as well as mission critical functions.
  • Create a second list of potential pain points that you consider critical to future success, but not necessarily achievable in-house.
  • Research what other companies in your industry are outsourcing.
  • Ask potential IT outsource providers for client reviews, case studies, and testimonials.

Above all else, find an outsourcing partner who values open and honest communication. There’s no better way to build trust in an outsourced relationship than with clear and frequent communication that keeps your priorities aligned while promoting seamless strategic collaboration. Properly utilized, outsourcing tech enables you to streamline operations, leverage resources, maximize productivity, and move forward with key growth initiatives. As your company’s IT needs change and grow, you want a trusted partner to help you through it. To learn more about how to successfully navigate outsourcing tech, contact us today. We’ll show you how building a profitable and long-term strategic partnership can play a crucial role in your company’s success.

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