IT Outsourcing

Outsourcing is now a common practice in the IT/computer sector. It involves a series of practices through which a company delegates part of its IT processes to external suppliers. If an SME wishes to follow this path, its IT outsourcing manager will be responsible for mediating between the company and external collaborators, handling the following aspects:

• Management and purchase of software for IT outsourcing;
• Ordering hardware supplies for the SME;
• Management of commercial relationships between the SME and suppliers;
• Project definition;
• Monitoring of the execution phase and proposing any changes.

And what does the relationship between SMEs and outsourcing consist of in more detail? By outsourcing part of its services, a company can delegate specific areas and functions to third parties, such as:

• Software development;
• On-site IT support;
• Management of servers or other infrastructures;
• Cybersecurity and other administrative tasks.

Once it is clear what IT outsourcing is, it is necessary to understand whether it can be a truly valid strategy for your SME. The first step is to carefully analyze business needs to identify potential areas or individual IT functions that could benefit from IT outsourcing. Depending on the extent of externalization, we can distinguish between:

• Partial IT outsourcing: when only certain functions are outsourced to third parties. For example, you can choose to rent servers and hardware while keeping software development in-house.
• Complete IT outsourcing: when all IT/information technology-related services are outsourced.

Based on this initial phase, it is then necessary to select the most suitable and qualified IT outsourcing service providers. It will be the responsibility of the IT outsourcing manager to conduct thorough assessments through market research, qualification evaluations, references, and cost analysis that take into account the SME’s budget needs. Once the providers have been selected, it is time to formally define the terms of the contract, regulating the conditions of the required IT outsourcing services. The contract should specify:

• The scope of services;
• Delivery timelines;
• Service levels;
• Economic compensation;
• Reserved agreements regarding data security.

At this point, the effective implementation of IT outsourcing practices begins. The company may also need to train internal staff, especially for the monitoring and evaluation phase. It is crucial that IT outsourcing activities are constantly monitored to assess their effectiveness and make any necessary corrections during operations.

When properly implemented, IT outsourcing strategies are highly advantageous for SMEs. The primary benefit of outsourcing certain processes is economic: IT outsourcing leads to a significant reduction in operating costs and investments in infrastructure and/or technological solutions.

IT services outsourcing specialists allow companies to access specific skills and expertise that may not be available internally or would require high training costs and long learning periods. External providers deploy experienced teams in the sector, enabling companies to achieve high-quality results more quickly.

IT outsourcing services are also flexible and scalable. This means that the project presented by the IT outsourcing manager can be adjusted according to market fluctuations, new company demands, or other changes. Externalization can therefore be increased or reduced in a controlled and seamless manner.

Finally, adopting IT outsourcing improves the quality of business services. By delegating non-essential functions to external collaborators, SMEs can specialize in their core activities, maximizing their distinctive competencies. Conversely, an IT outsourcing strategy may not be ideal in areas where SMEs prefer to maintain full internal control over their processes to ensure greater specialization.