India can halve IT costs, says bank


India can halve IT costs, says bank

Nick Huber
Companies can halve their IT costs by outsourcing the management of their IT infrastructure to India, according to a research paper by Deutsche Bank.

The investment bank predicted that infrastructure management services will be the next growth area in offshore outsourcing.

"Outsourcing helps reduce overall infrastructure management costs by centralising IT delivery activities, eliminating the duplication of roles and through standardisation," said Deutsche Bank, in a paper entitled Infrastructure Management, Next Growth Opportunity.

It added that the trend for IT infrastructure to be managed remotely by suppliers, over the internet or other networks, offered further potential for cost savings.

"Remote infrastructure management helps companies further increase cost savings by sending many of these jobs offshore. Almost 80% of the work can be done remotely from offshore locations," the paper said.

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