Cost still drives outsourcing decisions

More than half of the 945 global IT professionals in a Gartner study this month, say their prime driver for outsourcing their datacentre, desktop network and enterprise applications is cost control or reduction. Fewer organisations pinpointed improving competitiveness or accelerating their business as a motivator.

More than half of the 945 global IT professionals in a Gartner study this month, say their prime driver for outsourcing their datacentre, desktop network and enterprise applications is cost control or reduction. Fewer organisations pinpointed improving competitiveness or accelerating their business as a motivator.

“One of the great clashes in the market today is driven by the dominant use of outsourcing to cut costs along with requirements for customised services,” says Allie Young, research vice-president at Gartner’s Sourcing research group.

“Only by foregoing customisation and moving standardised services can the market effectively and reliably deliver the cost efficiency goals."

Behind cost, respondents rated speed, agility, flexibility, as well as access to technical expertise and skills as key reasons for outsourcing.

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