Benefits of Outsourcing
- Cost savings — The lowering of the overall cost of the service to the business.
- Focus on Core Business — Resources (for example investment, people, infrastructure) are focused on developing the core business. For example often organizations outsource their IT support to specialised IT services companies.
- Cost restructuring —Outsourcing changes the balance of this ratio by offering a move from fixed to variable cost and also by making variable costs more predictable.
- Improve quality — Achieve a steep change in quality through contracting out the service with a new service level agreement.
- Knowledge — Access to intellectual property and wider experience and knowledge.
- Operational expertise — Access to operational best practice that would be too difficult or time consuming to develop in-house.
- Access to talent — Access to a larger talent pool and a sustainable source of skills, in particular in science and engineering.
- Capacity management — An improved method of capacity management of services and technology where the risk in providing the excess capacity is borne by the supplier.
- Enhance capacity for innovation — Companies increasingly use external knowledge service providers to supplement limited in-house capacity for product innovation.
- Reduce time to market — The acceleration of the development or production of a product through the additional capability brought by the supplier.
- Risk management — An approach to risk management for some types of risks is to partner with an outsourcer who is better able to provide the mitigation.
- Scalability — The outsourced company will usually be prepared to manage a temporary or permanent increase or decrease in production.
Telecom Service Providers
Hardware Products Manufacturers
Software Product Companies
Network Appliance Manufacturers
Banking and Insurance
Communication Services
Consumer Electronics Goods
Education
Healthcare
Shipping Companies
Hospitality & Leisure
Media & Entertainment
Retail
Data Storage
Utilities
