Key Trends of IT Outsourcing UK
Outsourcing is just like a new wave smiting upon every industry, especially information technology. And it is the big IT giants which are optimizing their business benefits through outsourcing works. In this blog, we will restrict our focus to IT outsourcing UK.
UK or United Kingdom is the most grown-up market for outsourcing. If we go a few steps back and reach mid of 2011, we can see that UK outsourcing market was worth about £14 billion at that time. This fact was revealed by Equaterra on the basis of its survey on 200 companies which together have contracted out 650 works to the offshore IT services providers. Equaterra researchers have been watching the trend of outsourcing and on the basis of its survey report, have come to some important conclusions which are as follows:
· UK has not yet got free of bad economic weather. So, outsourcing will continue. More than eighty percent of these IT companies have already expressed that they will continue with the outsourcing works at current or higher level.
· Cost reduction is still the driving force behind IT outsourcing UK. However, financial flexibility is also becoming an important aspect in this whole scenario. According to the survey findings and analysis by Equaterra, this flexibility factor has gone up by fifteen percent on 2010 report.
· Of different types of outsourcing, offshoring has caught the fancy of the IT companies in the UK. These companies have different delivery model for offshoring purpose. And if statistics to be believed, more than 75 percent of the IT outsourcing UK companies have gone for offshore services due to low cost factor and high work efficiency.
· Multi-sourcing is on high demand. Research shows that bulk works from a single IT company result in poor satisfaction with the outsourcing deal.
EquaTerra’s Managing Director, Lee Ayling has told that the above-drawn conclusions and the report show a logical insight into the evolving dimension of the IT outsourcing in UK industry. One point is clear that cost-slashing is not the only factor to earn clients’ appreciation. According to Lee, while going into an outsourcing contract, both the service providers and takers must not give the price facto a priority, there are other things like quality of work and meeting of deadline which should be considered wisely. And last but not the least, IT outsourcing UK will stand to gain more success if it can ensure more cash flow through offer of flexible service.
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