Outsourcing has become a hot trend. IT takes the lion’s share of the space, with an average of 72% of outsourced functions being IT related.
According to a report by Gartner, IT spending is expected to climb to $3.8 trillion in 2019. The data also shows a marked move away from ‘owned’ IT, over to services.
There is a reason why folks are spending all this money on outsourcing their IT.
In fact, there are a few reasons. And they are pretty compelling.
If you want to know why so many businesses are embracing outsourcing, then read on. Because we are going to share with you the five reasons why outsourcing IT in 2019 is a smart move.
1. It’s Cheaper
Outsourcing has traditionally been used as a means to cut costs. 59% of organizations have said that reduced expenditure is the #1 reason why they outsource.
Here are some of the ways in which outsourcing IT can save you money:
- Equipment expenses are lowered.
- Permanent staff expenses can be minimized, such as paid leave, benefits and staff related overhead costs.
- Your utility bill may go down.
- Equipment maintenance costs are reduced.
- Training costs can be avoided.
- Outsourcing turns some capital expenses into monthly running costs, which can have tax benefits.
No wonder outsourcing is considered to be cost effective!
2. You’ll Get Greener
When you outsource IT, chances are that your business will use less energy. Thanks to not having to run all those servers.
But doesn’t this mean that the energy consumption is simply shifted to the IT company?
Yes, it does. But, in many cases companies that specialize in IT will have more efficient and cutting edge systems than the average organization. This results in reduced energy consumption.
3. Your Balance Sheet Will Benefit
An attractive benefit of outsourcing IT is that it turns capital expenses into operating expenses.
Operating expenses are tax-deductible, which is an obvious win. Who wouldn’t want to be able to claim the money they are spending on IT?
Another benefit of outsourced IT is that it breaks up what is usually a large upfront cost, into manageable and predictable monthly payments.
4. You’ll Will Be Compliant and Protected
Data security laws are on the up and up. Consumers are becoming savvy and demanding that their data is safeguarded.
If you outsource IT to a reputable company, you can lessen your stress over compliance and security issues.
5. You Won’t Have to Talent Hunt
It is estimated that 54% of companies are hindered by the tech talent gap that has arisen.
The bottom line is that good IT personnel are hard to find. Talent hunting can be time-consuming and difficult.
However, if you outsource your IT, this becomes no longer your problem to solve!
Now You Know Why Outsourcing IT in 2019 Is a Boss Move
As a boss, you are probably faced with a lot of tough decisions. Thankfully, deciding if outsourcing IT in 2019 is a good idea – is not one of those.
The benefits of externalizing make outsourcing your IT workload a great move. You know, a boss move.
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