Imagine this, you are the CEO of a progressive small startup. After years of hard work and dedication, your business has finally taken off resulting in rapid growth. With this unprecedented success comes the need for additional resources. However, the small in-house team you have been maintaining for so long is finding it tough to keep up with the growing requirements. Sounds familiar? To gain a competitive advantage and pull your in-house support services team from an overwhelming situation outsourcing your IT requirements to a professional outsourcing company can be the perfect move for your business.
IT Outsourcing services can open up new avenues for your business with expertise and experience without breaking the bank. In this blog, we’ll explore the benefits of IT outsourcing & why it’s a smart move for the growth of small businesses to businesses of all sizes.
Contents [hide]
- 1 What is IT Business Process Outsourcing?
- 2 IT Outsourcing in the Current Global Context
- 3
- 4 7 Types of IT Outsourcing Services in Bangladesh
- 5 Top 8 Benefits of IT Outsourcing Services
- 6 What Types of Services Do Outsourcing Companies Typically Support?
- 7
- 8 IT Outsourcing Companies in BD Can Reduce Your Costs
- 9
- 10 FAQ – Frequently Asked Questions
What is IT Business Process Outsourcing?
Simply put, IT business process outsourcing or IT BPO is where a company provides a range of outsourcing services including software development, technical support, data processing, customer support service, and other back office functions. While outsourcing, a company typically contacts outsourcing service companies or BPOs to handle its IT-related requirements. This kind of setup is known as IT Outsourcing. The requirements can vary from company to company as different organizations have different needs and need different specialist knowledge.
IT Outsourcing in the Current Global Context
In today’s global context, IT outsourcing has become an essential business strategy to gain growth and competitive advantage. As we become more connected globally, IT has become a way to tap into the global talent pool while also reducing labor costs and saving valuable time.
Throughout the pandemic, we have learned to adapt to new things and work under different scenarios. Globally we can stay more connected, work remotely and maintain growth IT outsourcing has become a more influential strategy according to the changing digital landscape.
Also, with the economic uncertainty IT outsourcing is a way to costs reduction and avoid time-consuming mistakes for most companies. Many companies are adapting to IT outsourcing as part of their strategy to cut down salaries, benefits, and other fixed costs. It also enables companies to get global expertise and stay up to date with the changing scenarios. All these have made outsourcing a critical business strategy to adapt to growing businesses.
7 Types of IT Outsourcing Services in Bangladesh
IT outsourcing can vary in different ways depending on how outsourced work is performed. Different types of outsourcing services include the following.
Workforce Augmentation Model:
Workforce augmentation refers to the practice of hiring IT professionals from third-party providers to supplement your existing IT team on either a short-term or long-term basis, depending on your business needs. While the hired IT professional may work on-site at your business premises, their payment and management are handled by the external service provider.
Dedicated Team Model:
The dedicated team model involves hiring an exclusive team of IT professionals who work solely on your projects. It’s ideal for tech support outsourcing and complex, long-term projects.
Project-Based Outsourcing Model:
The fully outsourced IT project model involves a company contracting a third-party provider to handle an entire project from start to finish, including recruitment, training, management, and implementation. This model has fixed costs and timelines, with the outsourcing vendor assuming full responsibility for the project within the given timeframe.
Managed Services Model:
The managed services model involves a third-party provider assuming full responsibility for managing a business’s IT infrastructure, applications, and services. They proactively monitor and address potential issues before they escalate into major problems.
Cloud-Based Outsourcing:
Cloud-based outsourcing is an IT outsourcing model where a third-party provider delivers technical support using cloud technology. They manage IT infrastructure, software applications, and data storage on remote servers, which businesses access via the internet.
Build-Operate-Transfer (BOT):
In the build-operate-transfer (BOT) model, an outsourcing partner builds and operates an offshore development center for a company. They manage staff, infrastructure, and daily operations, with the goal of eventually transferring ownership to the company.
Dedicated Development Center:
The dedicated development center (DDC) is a fully managed outsourcing model where a third-party provider sets up a team of skilled professionals to work exclusively for a business. Managed by the provider under a project manager, the team focuses solely on the business’s tasks, allowing the company to concentrate on core competencies.
Top 8 Benefits of IT Outsourcing Services
As a business owner, you are constantly looking out to get ahead of your competitors while improving the bottom line. That’s where IT outsourcing comes in and it can benefit your business in numerous ways to run your business more smoothly. Let’s have a look at the top 8 benefits of outsourcing services that can benefit your business in numerous ways.
- Control IT Costs:
Outsourcing IT needs helps reduce costs and improve your efficiency. When you will save money on salaries, infrastructure, and benefits you will be able to control your costs even more.
Focus on the Core Business Activities:
When you outsource your IT part of the business it will give you and your staff more headroom to operate smoothly and focus on the core business activities.
Reduce Labor Costs:
Saving money is a big part of outsourcing IT services. When outsourcing your IT needs you to enable labor cost reduction as you don’t need to pay for fixed salaries, benefits, or appraisals.
Control Cash Flow:
By outsourcing your IT business processes you can free up the funds which would’ve been otherwise tied with salaries and other infrastructure costs. Which will give your business the necessary funds to invest elsewhere resulting in superior control of cash flow.
Access Top Talent:
Hiring someone for an organization often requires costly recruiting training. You must teach them how to do the work and how you can create a custom process to suit them. When you outsource your IT requirements you directly get access to top talent specialists in providing you with quick solutions.
IT Outsourcing Saves Your Time:
The shortage of IT personnel poses the most serious challenge. Often companies need at least 3 months of training for programming jobs. Outsourcing helps solve such problems, allowing you to start working without spending much time sourcing or recruiting. Which saves valuable time and impacts business outcomes.
Continuous Support:
IT service outsourcing ensures continuous support in growing business operations. An outsourcing team can provide services around the clock from different regions to keep your business growth ongoing. Which is a big perk of outsourcing IT operations.
Quickly Implement New Projects:
The quality IT services provider has the resources to launch the project right away. In contrast, handling a similar project internally might take weeks or months of hiring the right person, training them, and providing the support needed. Quality IT services bring years of expertise in their implementation to save you time and money.
What Types of Services Do Outsourcing Companies Typically Support?
As businesses are growing to meet consumer needs, companies are facing new and new requirements every day. To support their functions outsourcing service provider companies provide various kinds of support depending on business needs. Here are some of the services provided by outsourcing IT service provider companies.
- Application Development and Maintenance
- Data Entry and Data Management
- IT Infrastructure Management
- IT Help Desk and Technical Support
- Cloud Computing and Storage Services
- Cybersecurity and Information Security
- Quality Assurance and Testing
- Digital Marketing and Search Engine Optimization
- Web and Mobile App Development
- Big Data Analytics and Business Intelligence
These are just a few examples of outsourcing services, IT service outsourcing companies can offer. Small companies can get highly benefited from outsourced IT teams as quality outsourced projects can provide an advantage in certain tasks.
IT Outsourcing Companies in BD Can Reduce Your Costs
As a destination for IT Outsourcing Bangladesh has become increasingly popular in recent years. And the popularity is growing with each passing year. Here are some of the reasons Bangladesh is becoming popular for many clients to outsource their IT operations while reducing costs.
- Bangladesh has a large pool of talented individuals in the IT field and also has a continuous supply chain of graduates passing every year due to many universities in the country offering IT-related degrees which made the possibility of getting competitive pricing possible and outsourcing in BD has become a more popular choice.
- The government has taken initiative to evolve the IT sector of the country and also provide tax incentives, investment opportunities, and streamlined regulatory frameworks to keep the growth ongoing which made outsourcing in BD a better option at a better price.
- Labor cost in BD is comparatively lower than in other countries which made it a popular destination to outsource IT services. This benefit has enabled companies to outsource at a lower price and also get access to specialized talents.
- The geographic location and the time zone have also made outsourcing in BD a popular option, especially for Europe. As the time zone of BD is just a few hours ahead of Europe it has made collaboration and communication with outsourcing partners more suitable. So no dedicated point of contact is required for communication and lower prices can be ensured.
Overall, Bangladesh’s large pool of specialized talents, business-friendly environment, lower labor costs, and favorable geographic location has made it very favorable for most companies to outsource their IT operation in BD.
Choose a Provider You Can Trust
Choosing the right outsourcing provider is a crucial part of a business move. While trust plays a significant role in choosing the right outsourcing partner there are also some points to consider while sorting for the right partner. Here are the things to consider,
- The reputation of the company needs to be good.
- Relevant working experience is important.
- The expertise and skillset of the personnel are crucial for success.
- The outsourcing partner needs to be communicative regularly.
- Shared company data needs to be ensured with high security.
When you consider all the facts, Enroute can be the perfect outsourcing partner for your company. With an impeccable reputation and 15 years of driving change in the industry, Enroute has led with example as an outsourcing firm in Bangladesh. We are here to get you to sort out your IT outsourcing requirements. Contact us today!
FAQ – Frequently Asked Questions
1. What are the 5 benefits of outsourcing?
Outsourcing has become a popular business strategy for many companies due to its numerous benefits. Here are the top five advantages of outsourcing:
1. Reduced cost.
2. Improves efficiency.
3. Gets better talents.
4. Round-the-clock support.
5. Focus on core activities.
2. What are the benefits and risks of outsourcing IT services?
Here are the benefits and risks associated with outsourced IT services.
Benefits:
- Cost Savings
- Enhanced Efficiency
- Access to Specialized Talent
- Scalability
Risks:
- Security Risks
- Communication and cultural barriers
- Quality control
- Vendor reliability
3. What are the services under IT outsourcing?
Here are some of the services provided by outsourcing IT service provider companies.
- Application Development and Maintenance
- Data Entry and Data Management
- IT Infrastructure Management
- IT Help Desk and Technical Support
- Cloud Computing and Storage Services
- Cybersecurity and Information Security
- Quality Assurance and Testing
- Digital Marketing and Search Engine Optimization
- Web and Mobile App Development
- Big Data Analytics and Business Intelligence
4. What is the most commonly outsourced IT service?
Technical support or help desk support is the most commonly outsourced service in the IT outsourcing industry. The service includes troubleshooting, maintenance, and support for software & hardware, and IT infrastructure.
The primary vision behind outsourcing IT requirements is to reduce cost while enhancing service quality. Some of the other popular outsourced IT services are software development, network management, and data center management.
5. Who are the biggest IT outsourcing providers in Bangladesh?
Enroute International Limited is one of the biggest IT outsourcing providers in Bangladesh. The company’s reputation for outsourcing goes deep with 15 years of providing solution-centric outsourcing to clients. Following the reputation Enroute also has an impeccable IT outsourcing service reputation in the country.
6. Why Use IT Outsourcing Services?
IT outsourcing services provide various impacts on the business including cost reduction, access to specialized talent, focus on core competencies, flexibility, and scaling up and down the business. Businesses also prefer outsourcing to acquire special knowledge, mitigate risks & maintain compliance.
7. What types of IT services can I outsource?
Outsourcing IT services is a great way to save money and resources. Depending on your needs, there are many different types of IT services that can be outsourced.
Common IT services that can be outsourced include web hosting, software development, application maintenance, network security and monitoring, data backup and recovery, cloud computing, IT Facility Management and more. By outsourcing these tasks to a third-party provider, you can free up valuable time and resources that can be used for other areas of your business.
When considering which IT services to outsource, it’s important to consider the cost-benefit analysis for each option. Some tasks may require more specialized expertise than others; in these cases, it may be more cost-effective to outsource the task rather than hiring an in-house team or individual with the necessary skillset. Ultimately, the decision will depend on your company’s specific needs and budget.
8. Can outsourcing IT services help me save costs?
Yes, outsourcing IT services can help you save costs. By partnering with an experienced IT service provider, you can reduce the cost of hiring and training in-house personnel. Additionally, outsourcing IT services allows you to access a wide range of expertise and resources at a fraction of the cost.
Furthermore, you’ll be able to focus on core business activities while your outsourced IT team handles the rest. With the right partner, you’ll get access to advanced technologies and tools that will help you maximize efficiency and reduce operational costs over time.
9. How can outsourcing IT services help me scale my business?
Yes, outsourcing IT services can help you save costs. By outsourcing your IT services, you can reduce the overhead of hiring and training staff, as well as the costs associated with maintaining hardware and software. Additionally, since you are working with an experienced provider, they will be able to provide a more efficient service than if you were to handle it in-house. This can help reduce operational expenses and give you access to higher quality solutions.
Furthermore, outsourcing IT services allows for scalability. You can easily adjust the amount of resources allocated to a project or task based on the level of demand. This helps ensure that you are only paying for what is needed and nothing more. In addition, many providers offer flexible payment options which allow businesses to pay only when they need the service or spread payments over time.
Overall, outsourcing IT services is an effective way to save costs while still getting access to high quality solutions.
10. How do I measure the success of IT outsourcing in my business?
Measuring the success of IT outsourcing in your business is an important step to ensure that you are getting the most out of your investment. There are a few key metrics that you can use to measure the success of IT outsourcing:
1. Cost Savings: Compare the cost of IT outsourcing against what it would have cost to do the same tasks in-house. This will help you determine if you are saving money by outsourcing.
2. Efficiency: Monitor how quickly and effectively tasks are completed by your outsourced team compared to what it would have taken in-house. This will help you understand how much more efficient IT outsourcing is for your business.
3. Quality: Ensure that the quality of work done by your outsourced team meets or exceeds expectations, as this will be a major factor in determining whether or not IT outsourcing is successful for your business.
11. How can I ensure the quality of services when outsourcing IT services?
Quality assurance is an important part of outsourcing IT services. At enroute international limited, we take quality assurance seriously and have developed a comprehensive set of processes to ensure the highest quality of service.
We begin by conducting a thorough assessment of your business needs and desired outcomes. This allows us to identify any potential risks or areas that may need extra attention during the project. We then develop a detailed plan for how each task will be completed and monitor progress throughout the project. Our team also performs regular reviews and tests to ensure that the code is up to our standards and meets the requirements outlined in the contract.
Finally, we provide ongoing support after completion to make sure that everything is running smoothly and that any issues are addressed quickly and efficiently. Our commitment to quality assurance ensures that you get the best possible results from our services.
12. How can I ensure the security of my data when outsourcing IT services?
Ensuring the security of your data is a top priority when outsourcing IT services. At Enroute IT Support Services, we take great care to protect our clients’ data. We use the latest encryption technologies and adhere to industry-standard security protocols. Additionally, all of our personnel are extensively trained in security measures and have signed non-disclosure agreements to protect confidential information.
We also conduct regular audits of our system to make sure that all security measures are up-to-date and properly implemented. Our team is available 24/7 to answer any questions or address any concerns you may have about data security.
If you’d like more information on how we handle data security, please don’t hesitate to contact us. We look forward to helping you keep your data safe!
13. Can outsourcing IT services help me focus on my core business functions?
Absolutely! Outsourcing your IT services can help you refocus on your core business functions. By outsourcing, you can free up time and resources to better focus on the areas of your business that need the most attention.
Additionally, outsourcing IT services allows you to access specialized expertise that may not be available in-house. With the right IT partner, you can leverage their experience and knowledge to optimize your operations and ensure that all of your technology needs are met.
Ultimately, outsourcing IT services is an effective way to ensure that your core business functions get the attention they need while also taking advantage of specialized technical expertise.
14. What are the long-term benefits of outsourcing IT services for my business?
Outsourcing IT services can provide several long-term benefits for your business, including:
- Cost savings: Outsourcing can help you reduce costs associated with hiring and training in-house staff, as well as investing in expensive equipment and infrastructure. With outsourcing, you only pay for the services you need, which can be a more cost-effective solution.
- Access to expertise: IT outsourcing providers typically have a team of highly skilled professionals who specialize in different areas of IT. By outsourcing, you can gain access to this expertise without having to hire and train employees yourself.
- Improved focus on core business activities: Outsourcing IT services can free up your time and resources, allowing you to focus on your core business activities. This can lead to improved productivity and profitability.
- Increased flexibility and scalability: Outsourcing allows you to quickly scale up or down your IT services as your business needs change. This can help you stay agile and competitive in a rapidly evolving market.
- Enhanced security and compliance: IT outsourcing providers are often experts in data security and regulatory compliance. Outsourcing can help you ensure that your business remains compliant with industry regulations and protects sensitive data from cyber threats.
Overall, outsourcing IT services can provide your business with numerous benefits that can improve efficiency, productivity, and profitability over the long term.
15. What should I consider before deciding to outsource my IT services?
Outsourcing IT services can be a great way to save costs, gain access to specialized expertise, and improve efficiency. However, before deciding to outsource your IT services, there are several important factors you should consider:
- Cost: Outsourcing can help you save on costs, but you need to make sure that the savings justify the cost of outsourcing. You should carefully assess the costs of outsourcing compared to the cost of hiring an in-house team.
- Expertise: A key reason for outsourcing is to gain access to specialized expertise that you may not have in-house. Ensure that the outsourced provider has the necessary expertise to meet your needs.
- Security: Your IT infrastructure contains sensitive data and intellectual property. It is essential to ensure that the outsourced provider has robust security measures in place to protect your data.
- Communication: Effective communication is crucial for successful outsourcing. Make sure that you and the outsourced provider have a clear understanding of what is expected of each other, and establish effective communication channels.
- Service level agreements (SLAs): SLAs define the scope of services, performance metrics, and remedies if service levels are not met. Review and negotiate the SLAs to ensure they meet your requirements.
- Cultural fit: The outsourced provider will work closely with your team, so it’s important to ensure that their culture aligns with yours.
By considering these factors, you can determine whether outsourcing your IT services is the right choice for your organization.
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