Businesses turn to IT outsourcing

Posted by Louise Tate

More businesses are turning to IT outsourcing now the economic recovery is gathering pace, according to an expert.

Chris Baker, writing for the Business Computing World website, said the recession prompted many companies to cutback in many areas, but they now recognise that outsourcing could help them improve their profitability.

"The advantages of outsourcing, which are driving this increase, are clear. Better, newer systems are always more efficient, and efficiency means greater profits," he said.

"Financial service providers were first off the mark in realising this, as these companies are currently creating the most demand for outsourcing, but government departments, energy and utilities and oil and gas companies are following suit."

A recent study by EquaTerra found that firms are increasing their investment in IT outsourcing as they seek to improve their business models.

According to procurementleaders.com, outsourcing can help business to do more than just save money, as it can also improve drive much-needed change.