Decline of IT Growth Due to Outsourcing

Filed in archive Outsourcing Issues on October 29, 2007

Outsourcing was identified as the culprit which hinders the IT growth in countries which opt for outsourcing.

The research study done by Gartner revealed that half of the more than 150 CIOs surveyed indicated their companies were going to outsource IT. These outsourcing plans could hinder the impending growth of IT outsourcing because most of the tasks are being transferred outside the country.

Andy Rowsell-Jones, the research director of Gartner issued this statement regarding this trend stating that: "Running many IT services has become far more transaction-based, as if it has moved from brain surgery to producing soccer balls. Software for something as complex as a global supply chain is now coming out of a box - literally."

I think that this is not a big problem especially if the company would develop a strategy that would benefit both their outsourced deals and their in-house operations.