How Efficient Is Outsourced IT? Everything You Need to Know About Outsourced Project Delivery Speed

How efficient is outsourced IT? According to the report by Bain & Company, it can accelerate your software development by 25%. What’s more, a report by Clutch showcases that it was for this particular reason that 24% of small businesses choose to outsource their IT projects. Do you want to learn more? Keep reading!

How Efficient Is Outsourcing in IT?

While we have hard stats proving that outsourcing can reach up to a 25% increase in efficiency, the answer to this question depends on the specifics of your projects. In some cases, it can even reach 35% or 40%, though the number might also be lower than the 25% shown in reports. Nevertheless, one thing is certain: IT project outsourcing is more efficient than in-house services.

Why Is Outsourcing Efficient in IT?

The statistics are straightforward, but what isn’t is the reason why outsourcing IT projects is more efficient than completing them in-house. Here, several variables come into play-expertise, access to tools, and more. Therefore, let’s look at the crucial factors that make outsourcing faster.

Access to Specialized Tools

Do you want to improve the performance of your existing application, which is currently underperforming? You’ll need to ask yourself:

• How do I do this?
• What causes the problem?
• How do I fix it?

What if we told you that all of these questions can be answered with specialized software? Code profilers and debuggers can help you locate issues and fix them efficiently. But, for that, you need two things:

• Access to the tools (investment).
• Knowledge of how to use the tools (skills).

Outsourced services provide you with the skills, knowledge, and experience necessary to accelerate the process. This applies not only to debugging and profiling, but also to other types of services. For instance:

• If you need to manage your cloud infrastructure, an outsourced company specializing in such services has the IOTM software.
• If you develop a new app, the outsourced company has IDEs ready for the process.

Simply said, professional development firms often use specialized software-profilers, debuggers, and monitoring tools-to accelerate this process. More importantly, they already know how to use them. That means:

• no time or money wasted on training your team,
• faster identification and resolution of issues or completion of new projects.

Focus on Your Project

When you outsource a project team, you know that they are dedicated to completing your app. Why? It’s a part of their day-to-day operations-their main purpose is to work on client projects. On the other hand, if you complete a project in-house, you need to remember that your team may have multiple other responsibilities that support your organization’s day-to-day operations, leading to less time spent on the new app. The result? It takes more time to develop your app.

Project Management

Finally, outsourced projects are managed by the companies completing them. Their expertise is invaluable, as this means you’re support in terms of:

• selecting the most efficient methodology for your project (e.g., agile vs. scrum),
• managing the communication between the stakeholders and the development team.

You benefit from the structure of an experienced project delivery team without having to build one yourself.

Final Thoughts: Is IT Outsourcing Worth It?

In terms of speed and efficiency, yes. How efficient is IT services outsourcing? Statistically, it’s 25% faster. Practically, the percentage will shift based on the type of IT services outsourcing and the specifics of your project. Therefore, outsourcing is often the smarter option, particularly for businesses lacking the internal bandwidth, tools, or expertise to execute complex IT projects quickly and in projects in which every day matters, for instance, when you want to release a new digital product along the current trends before your competitors.

Need IT outsourcing? Contact us at j‑labs!

References:

1. https://www.bain.com/insights/the-digital-shift-fuels-outsourcing-engineering-r-and-d-report-2023/
2. https://clutch.co/resources/small-business-outsourcing-statistics-in-2019