IT Outsourcing: Benefits, Risks & More

Modern organizations are becoming more reliant on Information Technology (IT) to remain competitive. However, IT development and maintenance costs have exploded as organizations depend more and more on technology to optimize business operations.

Companies big and small can offset these rising costs and bridge internal skill gaps by outsourcing IT services out to dedicated professionals. Organizations that invest in outsourcing their IT services attain significant benefits that enable them to optimize operations without having to invest in a full-fledged IT department. Outsourcing also helps to guarantee that networks are current and that technology provides seamless operations across the entire organization.

However, there is one crucial factor in the success of your organization investing in outsourcing IT Services. The vendor. The vendor that you trust to handle all of, or aspects of, your IT is not a decision to be taken lightly.

In this article, we will discuss some of the benefits of outsourcing IT, but more importantly, we will look at the risks of outsourcing and the questions to ask before selecting a vendor.

Why Outsource IT Services?

Organizations have benefited tremendously over the last decade from outsourcing. Some immediate and highly visible benefits include reduced operating costs, increased efficiency, minimized risk, and the flexibility to rapidly adapt to any business challenge.

Improve Company Focus:

Let’s face it, it’s not practical to be a jack of all trades. When organizations outsource, it allows them to focus on their core competencies and excel. For most organizations, building and supporting their own data centers is not what is going to give them a leg up over the competition. Outsourcing IT functions empower organizations to focus on what they do best rather than struggling with technology issues.

Security & Compliance Guarantees:

Organizations must be up to date on all of the latest security and compliance requirements to ensure optimal performance and efficiency. Without a full-time compliance team, it can be difficult to keep up with the numerous components, protocols, and standards that must be followed. By outsourcing to a qualified provider, organizations can save the hassle, while still reaping the benefits of having a lock-down and compliance IT landscape.

Access to Top-Talent & Tech:

Acquiring highly-talented, and highly-trained personnel to fill every position in an organization is almost an impossible task. Even if you could assemble a team full of superstars, it would cost an immense amount of capital to retain those employees. Outsourcing IT functions provides organizations with on-demand access to subject matter experts in any topic area. Most repeatable providers also utilize the most modern technology platforms and solutions, which some organizations may not even have access to.

Gain Competitive Advantage:

A modern and well-functioning IT department can provide and organization with the edge they need to beat out their competitors. However, establishing and maintaining a world-class IT center is a daunting and expensive task. Outsourcing IT functions empower organizations to gain competitive advantages using modern technology and solutions, all while limiting the risk and financial impact.

The Risks of Outsourcing

Anytime you give someone else responsibility for an aspect of your business, whether a full-time new hire or an outside vendor, there is risk involved. Did I hire the right person/company to do the job? Will they do what they are supposed to do? How will they “fit” with existing employees or departments? These are the questions that nag owners of small businesses when handing over the reins to a new employee or vendor. Let’s look at some commonly perceived risks involved with outsourcing.

Employee Morale May be Affected

A negative impact on employee morale still stands as a big organizational concern regarding outsourcing. This is especially true if the organization will be laying off employees to replace their job functions with an outsourced firm. In turn, this will create uncertainty for other employees, as they wonder if their job is at risk also.

A question to Vendors: What will do you to help my current employees feel valued as a part of the team?

Motivity Labs does not want to replace your existing resources. Our goal is to supplement your team with our talent to achieve more business goals, in a shorter amount of time. Our talent works directly with your team, attending regular meetings, and conference calls. Motivity Labs is completely transparent, we share everything and empower your team to take ownership.

Provider/Supplier Quality

The biggest concern when an organization outsources any function to a 3rd party provider is Quality. The Quality of services provided with make or break your entire outsourcing strategy. Quality directly affects important cost factors such as completion time, success rate, and overall ROI.

A question to Vendors: How can I ensure that I will be receiving quality services?

Motivity Labs is an award-winning IT service provider and was recognized as an Inc. 5000 fasting growing organization for four consecutive years. Beyond our numerous awards and ISO certifications, Motivity Labs guarantees all of our customers that they will receive high-quality services at a reasonable price point.

Hidden Costs

When using almost any service or subscription, a major concern is being weighed down by hidden costs. This is especially detrimental when an organization has thoroughly mapped out expenses and is actively tracking ROI. As hidden costs unexpectedly arise, your ROI slowly dwindles.

A question to Vendors: What hidden costs are associated with your services?

For Motivity Labs, the answer is simple. None. Our prices are conveyed to our clients and never change. We aim for complete transparency and are always upfront in our offerings and costs.

The Motivity Labs Mission

Our mission is to strengthen the critical success factors of every organization that leverages our IT Services. Due to this Motivity Labs aspires to innovate alongside our clients to ensure value is created at each step. We are highly dedicated to maximizing the happiness and success of every client that chooses Motivity Labs.

The world of technology is constantly evolving and undergoing complex transformations. Because of this, our experts at Motivity Labs go through extensive training and continuing education programs. Therefore we can always ensure they are knowledgeable about the most advanced solutions. In conclusion, our number one job is to constantly innovate and deliver value to transform the way you do business.

Thus with Motivity Labs, YOU are always the main focus.


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