Outsourcing refers to the transfer of ownership of a business process by an organization to the supplier of that particular process. The clients tells the provider what they want and how they want the work performed. Here the client authorizes the provider not only to own and operate, but also redesign underlying processes, to reap even greater cost and efficiency benefits. The important aspect of outsourcing is that the end is what the buyer is interested in, and not the means.

IT outsourcing, in particular, refers to offering your IT development, management or maintenance to another company that is competent in that arena. IT outsourcing might connote hiring someone or another company to operate your IT department. Such a partner should ideally have resources (people and infrastructure) that work closely with your staff to understand your unique business problems. The objective is to deliver, implement, and service unique IT solutions.

IT development is a highly technical job. To develop in-house requires time, skilled manpower, and expensive infrastructure (servers, programs and equipment, etc). IT outsourcing is a very cost effective alternative to IT development in-house. IT outsourcing is a strategic move.

 

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