3 developments that are changing IT Outsourcing

IT Outsourcing is changing

Remember when IT outsourcing was a short term strategy to save costs and scale easily? Well, today that is no longer the case. Today we look at the long term. Companies not only have more choices than ever when it comes to outsourcing providers and outsourcing models but also access to many different technologies. They are the new drivers of the decision to look for people abroad. And what about the improvement of communication by using new technologies as AR and VR?

Outsourcing driven by diversity in technologies

It’s very common for many providers of IT services to use an ecosystem in which they have collaborations with various partners in order to be able to offer a full IT service. Companies that outsource their IT are interested in such models and this gives them the opportunity to experiment with new tech. IT Outsourcing makes it possible for these companies to use the latest technologies as they can often provide various specialists who are difficult to find in their own country.

Outsourcing models

IT outsourcing, back in the days was usually an hourly rate model but this outsourcing model is no longer as popular nowadays. With a shortage of work capacity, people abroad are no longer hired per hour, but companies are expanding their IT departments to other countries. The programmers on the side of the outsource provider are an extension of the company that outsources its activities and work dedicated to these organizations. This makes it much more profitable to invest in developers that are not directly within your company.

Use AR and VR in communication with your nearshoring team

Working with each other remotely can create obstacles. If projects and tasks are not well documented and the communication between company and developer is insufficient, this can lead to lower results. These are points that should always be given proper attention. With the rise of augmented reality and virtual reality this can become a lot easier. These technologies are slowly entering the consumer market and when this happens the relevant hardware and associated software will grow rapidly. Skype or Google Hangouts will allow people to work in the same room with their remote employees. Only everyone will have to get their own coffee.

IT Outsourcing is changing from short term to long term investment and the outsource providers that are embracing these changes are the players of the future. Companies often end up with outsourcing due to the shortage of programmers but only then realize the potential that IT outsourcing offers.

Curious about the IT outsourcing options for your organization? We would be happy to come by for an interview.