Decline of IT Growth Due to Outsourcing

Decline of IT Growth Due to Outsourcing

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.


2 Comments

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check how the outsourcing IT can trun company into chaos

http://www.youtube.com/watch?v=h1eFN0F7W4k


Comment by Adam on December 7, 2007 9:13 am


I believe the best way to use outsourcing (and this based on the word definition) is to pass non-key activities to another company.

IT growth is mostly based on key innovations in the industry and companies usually do not outsource such activities. So I think there is no reason for IT Growth decline.


Comment by Igor Polyakov on February 24, 2008 9:57 am


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