{"id":15180,"date":"2022-04-25T03:56:13","date_gmt":"2022-04-25T03:56:13","guid":{"rendered":"https:\/\/innotech-vn.com\/?p=13847"},"modified":"2024-06-04T15:18:46","modified_gmt":"2024-06-04T08:18:46","slug":"it-outsourcing","status":"publish","type":"post","link":"https:\/\/innotech-vn.com\/vie\/it-outsourcing\/","title":{"rendered":"[2022] IT Outsourcing: Top Pros, Cons,\u00a0And Ways To Deal With"},"content":{"rendered":"
Today, IT systems have become more and more complex. Enterprises can completely outsource IT outsourcing services such as network administration, database administration, and operation of IT systems\u2026 However, many people still have questions about IT outsourcing’s pros and cons<\/a>. Let\u2019s find out in the article below.<\/span>\u00a0<\/span><\/p>\n \u00a0<\/span><\/p>\n <\/p>\n Nowadays, IT outsourcing generally is defined as contracting with outside vendors to do various IT functions such as data entry, data center operations, application maintenance and development, disaster recovery, and network management and operations. Vendors may be individual IT professionals, consulting firms, employee leasing companies, full-service providers, and CPA firms.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n <\/p>\n What are the advantages and disadvantages of looking outside the company to manage and support IT? Below are several reasons for choosing outside vendors.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n <\/i><\/b>The volatility of information technology can quickly make IT skills obsolete. Software is updated and replaced very rapidly by the time an entity invests in and trains its full-time staff, the technology may no longer be state-of-the-art. Outsourcing specialists must be well trained and up-to-date to survive.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n Fierce competition has led many businesses to restructure and downsize staff to save money. As in the case of General Electric, even thriving companies do whatever possible to reduce staff and costs. Vendors may help save money because they:<\/span><\/p>\n <\/p>\n <\/p>\n <\/p>\n Companies must be flexible enough to adapt to a business environment in constant flux, so their IT functions have to respond quickly to changing demands. Vendors often can tap a wide range of resources, skills, and capacities while internal IT staff may have limited capabilities.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n Companies often hire outsourced staff with the understanding they’ll be employed for a limited time. Thus, they can more easily drop or add people to the workforce without jeopardizing the company’s reputation as a stable employer. <\/span><\/p>\n <\/p>\n And more importantly, the use of outsourced workers buffers regular employees from fluctuations in demand and enables the company to establish a stronger relationship with its regular workforce than would otherwise be possible.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n <\/p>\n See more: OFFSHORE IT OUTSOURCING: FROM COST CUTTING TO GROWTH<\/a><\/p>\n <\/p>\n <\/p>\n Even with all the great benefits, there are some downsides to consider when looking for an IT outsourcing vendor.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n First, one factor which often stymies investment in outsourcing is control loss. When using third-party services, and enterprise entrusts core services to a different staff body. Some are uncomfortable with the idea of a secondary business managing their security or essential functions, and, understandably, a secondary MSP will not manage tasks to the same standards as a company.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n Second, depending on the who and where of outsourcing, quality can be a factor. While some IT providers offer sound infrastructure with experienced staff, others may provide only less qualified individuals who can affect the quality of service. This varies based on the provider and what tasks are outsourced.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n Third, a factor that should be considered, communication can suffer serious lapses depending on the provider. Long periods between inquiries and conversation are problematic, as the slower the outsourced response, the more services are affected. If for instance, companies are dealing with a security issue, fast communication is essential.\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n Just as security improves, it can also suffer from potential risks. This is because a company relies on a secondary party to handle its data, either in part or whole. If the said company doesn\u2019t have the same safety standards or is compromised in some way, business owner information will suffer.\u00a0<\/span><\/p>\n <\/p>\n Traditionally, third parties will take appropriate means to shield the business owner’s information, but that\u2019s not typical for all managed providers.\u00a0For instance, if companies use a data center for BDR, what happens if the data center loses data from downtime or cybersecurity issues? In this scenario, risk has increased, instead of lessened.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n In addition, IT outsourcing may impact business owners’ staff too, depending on the extent. No one wants to think their job is on the line, especially for essential services like cybersecurity and IT infrastructure. <\/span><\/p>\n <\/p>\n Therefore, depending on how extensive a company has onboard third-party resources, morale is something to consider. Disheartened staff may work less or grow frustrated with their environment, resulting in quality loss and some cases, turnover.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n Along with these typical negative effects of outsourcing described above, there are also some possible solutions for them.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n <\/p>\n First off, check an IT outsourcing vendor\u2019s website and pay attention to every detail should notice. The high positions in Search Engine Result Pages (SEPR) mean the company\u2019s willingness to cooperate; the intuitive UI\/UX and clear navigation may prove the focus on customer convenience.<\/span>\u00a0<\/span><\/p>\n <\/p>\n Moreover, take into consideration the number of employees and years of experience: it\u2019s better to trust a firm with at least one year of hands-on experience and enough employees to implement companies’ IT concepts.<\/span>\u00a0<\/span><\/p>\n <\/p>\n Furthermore, businesses can check platforms like GoodFirms or Clutch to get acknowledged to the reviews of the vendor\u2019s previous customers and draw their conclusion.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\n Useful questions to help CPAs determine if a vendor has the right resources and experience their companies or clients need.<\/p>\n <\/p>\n <\/p>\n \u00a0<\/span><\/p>\n Companies can plan their meeting time. For example, Innotech staff arrange a meeting calendar and stick to it to stay in touch with the customers and have video calls in time suitable for our clients. <\/span>\u00a0<\/span><\/p>\n <\/p>\n Regarding language problems, companies can discuss this question with the vendor representative or check it during the video call or face-to-face contact.<\/span>\u00a0<\/span><\/p>\n <\/p>\n <\/p>\nWhat Is IT Outsourcing?<\/span><\/b><\/h2>\n
Benefits Of IT Outsourcing?<\/span><\/b><\/h2>\n
Access To State-Of-The-Art Technology<\/h3>\n
Cost Savings And Quality<\/h3>\n
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Linh Ho\u1ea1t<\/h3>\n
Job Security For Regular Employees<\/h3>\n
Disadvantages Of IT Outsourcing<\/span><\/b>\u00a0<\/span><\/h2>\n
Less Control<\/h3>\n
Lower Quality<\/h3>\n
Communication<\/h3>\n
Security Risk<\/h3>\n
Morale<\/h3>\n
Ways To Deal With <\/span><\/b>IT Outsourcing<\/span><\/b> Cons<\/span><\/h2>\n
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Research The Potential Vendor<\/h3>\n
Use Due-Diligence Checklist<\/h3>\n
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\n\u00a0<\/span><\/li>\nPlan A Meeting With IT Outsourcing Firms<\/h3>\n
Enhance Security<\/h3>\n