Benefits

 

Outsourcing — the practice of using outside firms to handle work normally performed within a company — is a familiar concept to many entrepreneurs. Small companies routinely outsource their payroll processing, accounting, distribution, and many other important functions — often because they have no other choice. Many large companies turn to outsourcing to cut costs. In response, entire industries have evolved to serve companies’ outsourcing needs.

But not many businesses thoroughly understand the benefits of outsourcing. It’s true that outsourcing can save money, but that’s not the only (or even the most important) reason to do it. As many firms discovered during the outsourcing “mania” of the early 1990s, outsourcing too much can be an even bigger mistake than not outsourcing any work at all. The flat economy caused many companies into huge layoffs and subsequently outsourced functions that were better kept in-house. Wise outsourcing, however, can provide a number of long-term benefits:

Control IT Costs
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Outsourcing converts fixed IT costs into variable costs and allows you budget effectively. In other words, only pay for what you use when you need it.

Reduce Labor Costs
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Hiring and training an IT staff can be very expensive, and temporary employees don’t always live up to your expectations. Outsourcing lets you focus your human resources where you need them most.

Qualified doesn’t Equal Experienced
Experience

Few problems are new for leading IT service companies, which see related problems multiple times. An in-house IT employee leads an isolated existence no matter how much they train. We’d all rather an experienced doctor; the same is true for IT.

Increase Efficiency and Competitiveness
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Organizations that try to do all IT Services in-house themselves can have much higher research, development, and implementation time, all of which increase costs and are ultimately passed on to customers.

Quickly Implement New Technology
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A quality outsourced IT service organization will have the resources to start new projects right away. Handling the same project in-house might involve weeks or months to hire the right people, train them, and provide the support they need. For most implementations, quality IT companies will bring years of experience in the beginning saving time and money.

Stay Focused on Your Core Business
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Businesses have limited resources, and every manager has limited time and attention. Outsourcing can help your business stay focused on your core business and not get distracted by complex IT decisions.

Reduce risk
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Every business investment carries a certain amount of risk. Markets, competition, government regulations, financial conditions, and technologies all change very quickly. Outsourcing providers assume and manage much of this risk for you, with specific industry knowledge, especially security and compliance issues. They generally are much better at deciding how to avoid risk in their areas of expertise.

Level the Playing Field
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Most small businesses can’t afford to match the in-house support services that larger companies maintain. Outsourcing can help small companies act “big” by giving them access to the similar technology, and expertise that large companies enjoy. An independent third party managed cost structure and economy of scale can give your company a competitive advantage.

Compliance and Security
ComplianceandSecurity

Is your firewall up to date? Do you have a DMZ installed? Do you audit your Workstations and Servers? Has your company implemented PCI security standards and work to maintain those standards? For example, Businesses have more ways than ever to prosper by taking many forms of payments such as Credit and Debit Cards, Gift Certificates, E-Checks, Wire Transfers to name a few, but with these forms of transacting also comes the need for due diligence. By outsourcing a qualified Manages Services company who is familiar with PCI Compliance standards https://www.pcisecuritystandards.org, you can rest assured that your company is minimizing the risks associated with maintaining client data, credit card numbers, sensitive competitive information and more.

Start new projects quickly
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A good outsourcing firm has the resources to start a project right away. Handling the same project in-house might involve taking weeks or months to hire the right people, train them, and provide the support they need. And if a project requires major capital investments (such as building a series of distribution centers), the startup process can be even more difficult.

A2Z IT Partner & Providers:

A2Z IT Partner & Providers

A2Z IT Partner & Providers