Ten Reasons why Companies Outsource

Filed in archive Basics on November 30, 2006

There are different reasons why companies outsource but more or less, some of these reasons are similar.

In the article, In Depth: Customers Analyze Outsourcing Vendors And Strategies, it points out the top 10 reasons why companies outsource.

Reasons for Outsourcing:
1. Cost-savings - 65%
2. Flexibility in increasing/decreasing IT capacity - 41%
3. Knowledge transfer and industry-specific expertise - 34%
4. reliability -28%
5. Removal of fixed costs - 26%
6. Operational expertise - 26%
7. Better support for internal users - 22%
8. Lack of available in-house personnel - 21%
9. Speed to market - 20%
10. Improved IT performance - 20%