Does IT Outsourcing Continue To Benefit Business In 2021?
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Does IT Outsourcing Continue To Benefit Business In 2021?

Posted By Praveen Joshi

April 15th, 2021

Does IT Outsourcing Continue To Benefit Business In 2021?

The business landscape requires leaders to take constructive steps towards steering digital transformation. The market requires small and mid-sized enterprises to big conglomerates to incorporate innovation as a core component of the operations.

Now, onboarding a group of stellar developers can be a daunting task. But that is where smart outsourcing comes into the picture. Such outsourcing opportunities are aimed at fostering your development requirements and devising favourable contractual obligations.

Let’s take a look at how IT outsourcing continues to benefit businesses in 2021.

Will outsourcing continue to play a role in business?

The straightforward answer is yes. As the leaders want their workforce talent to focus on the crucial business areas, the role of outsourcing will continue to play in streamlining the operations.

For instance, a similar pattern prevailed with the emergence of cloud infrastructure. Companies had the option to minimise spending in maintaining the servers onsite or in-house. They turned to cloud computing solutions like Microsoft Azure and Amazon AWS to achieve that. Now, Statista stated that nearly 77 per cent of the respondents had incorporated cloud-based services.

Therefore, irrespective of the industry, the role of outsourcing in businesses will continue to be significant. IT sourcing companies will be crucial in leading digital transformation, innovation, and strategic initiatives. It is one of the reasons why such services are being referred to as smart sourcing.

The various models of smart outsourcing

There are certain ways for businesses to outsource their software projects to vendors across the globe, where the development centres can reside onshore, offshore, and nearshore. Let’s consider in details as follow:

  • Onshore software outsourcing: Onshore outsourcing means a business partnering with IT sourcing companies in the same nation. Onshore outsourcing often helps in bridging language or culture barriers.
  • Offshore software outsourcing: Offshore outsourcing means partnering with IT software outsourcing companies in other countries. It is often considered the most potent regarding the costs. Moreover, effective telecommunication tools make outsourcing an easy task.
  • Nearshore software outsourcing: Nearshore software outsourcing refers to partnerships with outsourcing companies in neighbouring countries.

What are the business advantages of IT outsourcing?

When it comes to IT outsourcing, leaders have a plethora of questions to determine how it will benefit the operations and achieve business objectives.

Let’s take a look at the advantages of partnering with an IT software outsourcing company.

  • Financial incentive: Since the partnerships are driven by customer satisfaction, IT sourcing companies aim to adhere to these standards while rendering the results. The financial benefits also involve the minimised costs of maintaining an in-house team.
  • Adaptability: IT software outsourcing companies adopt a versatile nature to provide smart solutions. Since they work with clients from multiple industries and countries, the adaptability to mould the solutions as per the businesses’ requirements is the only way to go.
  • Core expertise: The end-to-end nature of the solutions are what drive the proficiency of an IT sourcing company. Since it is a core function of their operations, they onboard only experts to steer proving solutions, customising tools, and more.
  • Flexible resolutions: An IT software outsourcing company is skilled at diverting the attention to allocate resources for solving multiple problems at once. It means that if several business problems arise, the leaders can talk to multiple stakeholders and brainstorm a strategy to find the right solutions. It can also be immensely helpful in minimising instances of downtime.

What are the IT outsourcing solutions trends in 2021?

With the advent of digital technology, it became apparent that businesses need to stay agile to prosper. The reality further became trivial as a global pandemic severely impacted many industries and enhanced smart and agile solutions requirements. The idea is to make it versatile, resilient to chances, and highly responsive to transforming the user experience.

In-demand technology solutions

2021 has paved the way for businesses to focus on areas like financial technology, quantum computing, Artificial Intelligence and Machine Learning, and more. It is also important to note the rise of automation, which is crucial for streamlining various operations.

Such solutions will determine the role of IT software outsourcing functions. Businesses will be focused on catering to the new-generation customers’ demands, and this landscape will require tapping into in-demand technology solutions.

Bespoke software development

Adapting to new standards and transformations in the technology landscape will be crucial for businesses to stay on top of the ladder. They cannot achieve this by utilising generic software solutions in 2021.

Hence, bespoke software development solutions will be ideal for tackling sensitive and specific business requirements. For instance, it can involve customised updates and support, application development, prioritising security, and more.


The IT and software outsourcing landscape is essential to businesses for providing solutions to users. The answer is yes – IT sourcing will continue to benefit the leaders, irrespective of the industry.

Praveen Joshi

Praveen is a seasoned IT Solutions Leader and Director at RSK Business Solutions, a technology-driven IT Consulting Company that specializes in Bespoke Software Development, Agile Consulting, Mobile App Development, Smart Sourcing, and much more. For the last 17 years, he has been delivering quality custom IT solutions that help businesses achieve their goals.

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