Why Outsource?

The outsourcing option is a strategic move that enables companies to concentrate on running their business, not on running IS related functions. It's a way to manage costs and convert fixed assets to cash - while staying abreast of new technologies. Outsourcing also brings predictability and reliability to the management of information technologies. It offers the advantages of converting fixed costs into variable costs without sacrificing service quality.

High performance companies realize that trying to excel at everything dilutes precious resources and distracts management's attention from strategic issues. They are gaining a competitive edge by concentrating on core competencies that provide high value and contribute to their bottom line. And they are putting information systems (IS) functions in their proper role as strategic enablers rather than core competencies.

Outsourcing has become one of the most powerful management tools today. Labor and resource intensive tasks such as application development, system maintenance, re-engineering, migration and testing, etc can be effectively outsourced by companies .

In today's fast paced and competitive business environment, outsourcing is a widely accepted, viable strategic management tool. It has been used in all industry and government segments globally as a strategic move to enable organizations to concentrate on running their business, not on running IS related functions.

Outsourcing allows organizations to focus on core competencies, leverage business critical infrastructure, convert fixed costs into variable costs, facilitate best-of-breed implementations and redirect resources for core competency development through reduced costs .

Outsourcing also brings predictability and reliability to the management of Information Technology. It has become one of the most powerful management tools to meet several critical success needs in today's global economy. These include speed to market, a standardized global presence, overcoming skill shortages, and coping with trends like the rise of e-business, deregulation and privatization .