Nearly 70 per cent of IT leaders to increase outsourcing

According to research performed by software development business JetRockets, almost 70 per cent of IT executives are increasing their demand for outsourcing as a result of a continuous labor scarcity, with some deciding to source personnel locally.

According to the survey, this trend is being driven by “extraordinary pressure” brought on by the rising need to digitize processes and provide distinctive experiences for both consumers and staff. In addition to global uncertainties, broad budget cuts are driving businesses to change their methods to exporting personnel.

The JetRockets report surveyed more than 400 IT professionals in CIO and CTO roles in the United States to get their perspectives on IT outsourcing and how they intend to use third-party suppliers in the future year.

According to the survey, political tensions in India, China, Russia, and the Ukrainian crisis have influenced the IT outsourcing sector, pushing IT leaders to rethink their outsourcing plans. According to the research, more than half of US enterprises solely outsource their IT to foreign nations, with 24 per cent of them exporting overseas. Yet, the crisis in Ukraine has already had an impact on 67 per cent of firms’ IT outsourcing strategies, with 36% acknowledging that it has had a major impact.

According to the survey, after years of largely outsourcing to foreign partners, US corporations are now changing their attention to local partners. Web development and maintenance (33 per cent), information security (30 per cent), and data center operations (30 per cent) are the top three areas that respondents plan to outsource this year.

The report suggests that outsourcing will play a significant role in allowing organizations to fulfill their responsibilities this year, with 35 per cent of respondents saying that outsourcing will be important. The cost-driven model for outsourcing IT is changing, and organizations are now seeking partners who understand their organization, keep their data safe, and deliver high-quality products and services.

The sources for this piece include an article in TechRepublic.

IT World Canada Staff
IT World Canada Staff
The online resource for Canadian Information Technology professionals.

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