Looking Back at Recession and Applying Lessons Learned in IT Offshoring
The recession which took the world by storm passed like a slow moving but intense storm. What one must understand is that it did finally pass and when it did, it left us learning new lessons and reconsidering our perceptions, biases and prejudices against all aspects of business life. For instance, it taught most companies that economy is a fragile eco system where a disturbance in one country will definitely have its ripple effect felt across the globe.
This leaves us with the issue of offshore outsourcing, especially that which is concerned with IT. It offshoring has been popular ever since 1990s and has now become a staple for almost all American organizations. It is technically and logically difficult not to outsource work, as having IT related functions within a company would leave a business distracted from its core business and concentrate more on technologies that it may not understand much.
The very fact that IT is something that most people do not understand; though every company needs an IT department is enough for people to be wary of the situation. This wariness is easily rid off, when the IT related jobs are outsourced to a nation where the services might be offered at a fraction of a cost. After the recession that hit a couple of years ago, most companies have begun to reconsider what they thought were sure shot methods to successful offshoring.
Joanna Sedley-Burke, Business Development Director, Sovereign reveals that companies across the world would need to do a lot more than they can afford, and a lot less than they could have, if they had money. This leaves companies with no option but to consider offshoring as a general practice. In most cases it works, and when companies compete against each other, they are left with no choice but to follow other companies which make profits.
Though derided by the unions as lemming effect, IT offshoring has significant advantages that one cannot ignore. The first and foremost rule in that case must be ‘one size does not fit all’. Offshoring can neither be all good, or all bad. It is something that works for most, and does not work for a fee companies. With that in mind, if a company feels outsourcing work will help them concentrate on core business areas, it should be done so after consulting with professionals.
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