Today, there are thousands of companies employing various types of IT outsourcing to some extent, mostly related to the technology sector. So, What is IT outsourcing and How does it work? IT outsourcing services involve subcontracting or “assigning” certain IT functions to independent, third-party companies or individuals, instead of keeping those functions intact. If you are an entrepreneur, a startup founder, an IT project manager and want to thrive your business out in today’s digital transformation, outsource IT services can bring you quite a lot of benefits. In this article, we will present What IT Services can be outsourced? and Where to outsource IT Services? Let’s check out now.

See more: How To Hire Software Developers In Vietnam?

1. Top 10 Pros Of Outsourcing IT Services

1.1. Huge savings

Because of the complexities and scarcity of their skill set, IT professionals fetch a high salary. Retaining an IT workforce might be prohibitively expensive for small and medium-sized businesses. With outsourced IT, your firm may avoid the expenditures of maintaining an in-house IT workforce and devote more funds to business expansion. Companies that handle IT in-house are frequently burdened financially and in terms of time by the tasks associated with computing. All of the time and money spent on computing research and implementation could be better spent on your company’s core capabilities. The savings can then be passed on to your customers in the shape of lower-priced items and memberships.

1.2. Budgeting that is predictable

Similarly, the amount of money that could be lost due to unanticipated computer failures is a cause for concern. When you choose to outsource your company’s IT to an MSP (Managed Service Provider), you’ll always know how much you’ll spend each month for optimum IT performance and security. If your computing system is small and straightforward, you may pay for the bare essentials of IT and expand up as your system armament grows in proportion to your business. You can cut back and just pay for what you need based on seasonal trends and how they affect your computing requirements.

1.3. All-Inclusive expertise

Despite their diverse skills, most IT professionals have limitations. An issue is bound to develop from time to time that will perplex a particular IT tech specialist. When you outsource your IT, your in-house computing maintenance requirements are not limited to the expertise of whoever is on your staff. Your computer demands are met on all fronts when you work with an MSP.

1.4. Dependable technicians

The time it takes to train IT candidates on the specifics of your company’s computing infrastructure can deplete resources that could be used elsewhere. This can be especially taxing if IT personnel come and go, and the skills of those who do apply range widely. With an MSP, you don’t have to set up time for in-house training or be concerned about personnel and quality changes within an IT workforce.

1.5. Service that is qualified

IT difficulties are typically a secondary or tertiary area of expertise for most SMBs (Small Medium Businesses). Unless your company is intimately involved in the IT industry, how can you truly assess an IT applicant’s skill level, let alone teach that individual on the ins and outs of your in-house computing system? When you outsource IT responsibilities to an MSP, you never have to worry about these perplexing questions. Some of the world’s greatest firms keep their IT teams in-house simply because they can afford to hire the best staff available. The bulk of small and medium-sized businesses, on the other hand, lack the wherewithal to acquire top-tier IT professionals. Because MSPs are staffed with the kind of skill required by large corporations, IT outsourcing levels the playing field. Best of all, MSPs provide top-tier knowledge at SMB-friendly prices.

1.6. Proven IT experience

Every day, new concerns and challenges develop in the realm of computers. An isolated IT person who has spent years in the same office will often have a knowledge span confined to the problems the company is familiar with. An MSP, on the other hand, will have experience with a considerably broader range of computing challenges, having serviced firms in both the private and public sectors. MSPs take IT very seriously and are constantly on the lookout for new developments in the sector. When you outsource to an MSP, your organization obtains IT services that are strictly adhered to.

1.7. Increase Productivity

When IT obligations are delegated to an MSP, your in-house personnel may focus on more critical day-to-day business matters. Even if you have in-house IT professionals, an MSP can undertake the heavy lifting and free up your computing staff to focus on more pressing issues. The efficiency and scalability of in-house productivity increase dramatically. With an MSP on your side, your team may focus on their core competencies while delegating IT responsibilities to qualified, off-site professionals whose core competencies encompass the complete spectrum of IT-related challenges.

1. 8. Prompt implementation

Whenever your firm requires the implementation of a program, an MSB can do the process quickly and have everything up and running with network-wide compatibility. If you keep these responsibilities in-house, the stages including program implementation and network flexibility could put your operations on hold for weeks. You don’t have to put your usual operations on hold while waiting for implementations when you use outsourced IT.

1.9. Better customer service

An MSP works behind the scenes from a remote location to provide continuing support to you. As a result of the virtual elimination of service interruptions and downtime, your company may experience increased customer satisfaction on a regular basis. With outsourced IT, your firm will rarely, if ever, face issues like dead customer service lines and sluggish online sales portals.

1.10. Minimize Risk

When you have an MSP working on your behalf behind the scenes, you essentially remove the potential of downtime or cyber assaults. When you outsource IT services to third-party specialists, you eliminate the risks that could set a firm back and harm its brands, such as long periods of website downtime or credit card data breaches. Some of the more worrisome features of computing technology involve compliance difficulties and changing national and international rules and regulations. Part of an MSP’s responsibility is to stay on top of these developments so that you are constantly in compliance.

2. Cons of Outsourcing IT Services

Of course, entrusting your critical business procedures to a third party is not without danger. Here are a few disadvantages of using outsourced IT services:

2.1 Potential Downtime

If there are no technicians available to fix your issues promptly, your firm may incur downtime. You can avoid this issue, though, by selecting a reputable company with adequate people.

2.2 Security Concerns

When you outsource IT services, you are putting your trust in them to keep your firm secure — yet you may not be aware of the security standards they have in place. You run the danger of utilizing subpar processes, especially if you work with an offshore MSP who is unfamiliar with your country’s rules.

2.3 Misaligned Goals

The ideal IT supplier collaborates with you to help you achieve your business objectives. If you choose the wrong provider, you may be forced to use systems and practices that restrict the functionality and impede your business.

2.4 Limited Flexibility

If you choose the wrong supplier, you may be forced to use proprietary software. If this is the case, you may feel trapped with them, especially if they have not documented their work on your network. Of course, you can mitigate these risks by working with a reputable managed IT provider and asking the correct questions.

3. Types of IT Outsourcing 

There are various forms of IT outsourcing based on where the work is performed. These are some examples:

• Relocating a company’s or a service’s operations overseas, often to take advantage of lower costs and/or a more favorable economic climate.
• Nearshoring: moving business or services to a nearby country that often shares a border with your own.
• Homeshoring/onshoring: the practice of allowing employees to work from home rather than an office, factory, or other physical location.

4. What IT Services Can Be Outsourced?

Website development

From a business standpoint, almost every business needs a website to get public exposure and spread their brands to customers. However, not all companies have people with the necessary skills to develop a website. Therefore, outsourcing website development will provide a team of professional programmers in engineering and technology to be able to launch a website efficiently and optimally.

Benefits

• You can leverage your partners’ latest knowledge, expertise and technology for high-quality output.
• Access supporting talents other than developers, such as project managers and content writers.
• IT solutions help focus allows you to work in a timeline and launch websites faster.

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Hosting

Today, having websites and applications comprising of files and content that can be accessed online is a business need. However, investing in an internal server and data center requires cost, time, and expertise. Companies can leverage hosting to bring websites, apps, and more to the cloud without having to build and manage their own data centers.

Benefits

• It helps ensure better uptime, performance, and security for your websites and apps.
• Get flexibility with service providers that can deliver customization based on business requirements.
• IT Solution: Avoid spending to buy servers and maintain and maintain your own equipment.

Software & Application Development

From a business point of view, developing your own software or application is ideal instead of buying or subscribing to an already built software or application, especially if customization is required to meet business needs. . Especially, outsourcing application development is a practical option instead of trying to do it yourself by hiring in-house developers. Outsourcing gives you access to the latest technology and quality experts that can be equally costly if you buy them yourself.

Benefits

• Leverage technical expertise and third-party development methods.
• Let your internal technology team focus on the critical functions of your business.
• Make sure the quality of the software or application is designed for your business.

See more: How Much Does It Cost to Outsource App Development?

Website & Application Management & Maintenance

From a business point of view, managing and regularly maintaining the website or application can, while needed, can be time-consuming. Outsourcing this functionality can free your internal engineering team so they can focus on core business functions while making sure that your website or app is running smoothly.

Benefits

• Use a dedicated group at a lower cost.
• Take advantage of the professional expertise of your service provider.
• IT solution: Ensuring the security and optimal user experience of the website or app.

Technical Support

From a business point of view, outsourcing technical support is especially advantageous for large companies and organizations. Having a dedicated outsourcing partner to ensure that all hardware and software are working effectively is extremely important to ensure that business operations are not compromised. It is necessary to have a technical support team always ready to solve any problems promptly.

Benefits

• Cost savings by eliminating the need to purchase additional office space or equipment.
• Backed by a team of experienced and well-trained technical support.
• IT solution: Year-round and round-the-clock support are subject to agreement with a service provider.

Database Development & Management

From a business point of view, database development and management are of utmost importance to businesses with large and growing amounts of data. This requires a specific set of skills and outsourcing will help an enterprise exploit the right talent to perform the role professionally, safely and efficiently.

Benefits

• Focus on core projects while a team of experts handles your business database.
• Ensure that the database systems are working well for the business.
• IT solution: Maintain security and uptime of database systems.

Infrastructure

From a business point of view, building your own infrastructure can be a huge cost of capital. Outsourced infrastructure is economical, allowing businesses to pay only for what they need – whether it’s servers, storage, or network hardware. Also, trouble-free company and maintenance costs are handled by the service provider.

Benefits

• Promptly deploy the necessary infrastructure.
• Customize and expand to fit your business needs.
• IT solution: Optimization and maintenance handled by the service provider.

5. Commonly Outsourced IT services

5.1. Network Safety

Security safeguards are one of the most significant advantages of using outsourced IT services. When you employ an MSP, you are ensuring the security of your network against cyber threats. Nothing is more harmful in the realms of computing and e-commerce than a breach in your system’s security. Offsite outsourcing IT specializes in this field and are always up to date on the most recent security procedures, keeping them one step ahead of those who desire to attack. You get the following security benefits when you work with an MSP:

• Ongoing monitoring and system reporting
• Notifications for maintenance and security alerts
• Preventing breaches before they happen

5.2. Network Implementation and Upkeep

The duties associated with the adoption and updating of system applications can be time-consuming and difficult for most SMBs. With an MSP on your side, you can avoid these distractions and focus on your core business. Offsite IT services are experts in the setup of computers and mobile networks, as well as the integration of software applications. Managed service companies manage these kinds of duties on a regular basis and can execute programs in a fraction of the time that it would take in-house.

5.3. Help with Troubleshooting

When problems do emerge on-site, an outsourced IT solution will guide your personnel through the problem. Whether the problem is uncertainty over a system update or problems with network synchronization, your team will have access to IT experts that know how to tackle any computing problem that may emerge.

5.4. System and File Backup

The majority of today’s larger businesses have migrated their files to cloud storage to ensure backup in the event of a local hard disk or server failure. Many SMBs are already using cloud storage due to its convenience. With everything backed up on the cloud, your digital files will be available for as long as you require them.

6. When To Outsource IT Services?

Now that you know why you might want to outsource your company’s IT, you make be wondering how you know when it’s the right time to make the switch. If your company has had cost concerns and downtime due to hardware and software issues, now is the time to outsource IT services.

6.1 When you want faster marketing times 

The less time you spend renting, the less time it takes to get your product to market. Simple.

6.2 You are a project manager 

If you are a project manager and are assigned a short time to develop a particular product, hiring an extensive team of developers or completely outsourcing development can save a lot of time. time and effort.

6.3 You are a single founder who does not specialize in technology –

If you’re a tech-savvy founder, outsourcing with a dedicated project manager is the right way for you.

6.4 Lack In-House IT

If your company is too small to open an IT department or you just wish to save money and forgo an IT staff, an MSP is a perfect solution. With outsourced IT, the tasks that the in-house department would handle in exchange for high salaries can instead be handled externally on a monthly subscription basis. Best of all, the service is superior to what you’d typically find among a string of IT applicants.

6.5 If You Have In-House IT

Outsourced IT solutions can benefit your company even if you do have an in-house IT department. An MSP exists to handle IT functions on an ongoing basis day in, day out. While your in-house team focuses on computer operation, the outsourced IT service will handle all the tasks involving software updates, security patches, security warnings, file protection and regulatory compliance. With outsourced IT to manage the never-ending concerns of network computing, your in-house staff is free to zero in on the skills that are most applicable to your company.

6.6 You Want to Save Money

Computing aside, some of the most significant benefits of outsourcing IT services fall into the financial category. With outsourced IT, you can allocate in-house resources to tackle better the daily needs of your company. The services of an MSP cost less on a monthly basis than the salaries commanded by most in-house IT staffers. This is because MSPs handle nothing but IT for a vast range of clients large and small, whereas an in-house IT staffer would rely solely on you for his or her income.

6.6 You Want the Best Support Technologies

Outsourced IT services use only the most high-grade technologies on the market today. Whereas you might pay a fortune to have top-of-the-line hardware and software arsenals set up in your company offices, the same technology can be accessed offsite at a reasonable monthly rate. Best of all, your in-house staff does not even need to learn the more complicated aspects of hardware operation and software installation because the MSP handles all such tasks.

7. Where To Outsource IT Services?

As a low-cost, high-quality software manufacturer, Vietnam is becoming increasingly attractive in Asia as a destination for outsourcing. Outsource IT services to Vietnam is around 90 percent less expensive than producing software in the United States of America, according to CIO magazine. When compared to India, the cost of manufacturing software in Vietnam is one-third to one-seventh of the price in the latter country. All of these facts should persuade businesses that they should begin outsourcing development to Vietnam.

A number of IT services companies have begun to take advantage of this wonderful opportunity to outsource software to Vietnam at a reasonable cost while maintaining high quality standards. Vietnam is on its approach to become the first country in the world to write a new chapter in the history of software development outsourcing. The world will be watching closely to see how this new offshore development revolution in Vietnam plays out. Developing software outsourcing destinations such as Vietnam will be an excellent option for firms looking to improve technologically without investing a lot of money.

How about OutsourcingVN?

OutsourcingVN has more than 9 years of experience in offering powerful and scalable software outsourcing services to SMEs and large corporations, assisting them in turning their visions into realities. You can find out more about our services by visiting this page: Outsourcing Software Servicesers to aid them in expediting their IT and digital marketing projects. By contacting us through this website, you will be able to put our highly qualified team of specialists to work for you.

Conclusion

These days, hundreds, if not thousands, of businesses engage in some form of information technology outsourcing, with the majority of them operating in the technology industry. Rather than maintaining certain information technology tasks in-house, IT outsourcing is subcontracting or “farming out” certain information technology functions to independent, third-party organizations or individuals. The phrase “virtual” is another term that is frequently used to designate foreign contracted labor. A “virtual worker” or “virtual staff” is someone who works remotely or virtually. If you are interested in learning more about outsourced information technology services, please contact us at OutsourchingVN.com.

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I'm Rose Helen, Senior Marketer at Netbase JSC
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