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Outsourcing no longer just for cost savings, survey finds

Saving money is no longer the primary reason for companies opting to outsource their IT operations, new research has found.

A survey of UK-based chief information officers (CIOs) by IT outsourcing consultants Harvey Nash found that three quarters of respondents listed responsiveness and flexibility as the primary motivations for outsourcing, ITPro reports.

It also found that 53 per cent of CIOs expected their IT budgets to rise in the next year and half of them anticipated spending ten per cent or more of it on outsourcing.

Paul Smith, managing director of the global outsourcing and software division of Harvey Nash, commented that the findings showed that "IT outsourcing is here to stay".

In one of the latest instances of a large outsourcing contrast being awarded, Tenpin, the bowling operator, has signed a 4.2 million contract to outsource its sales and service operations to the Dataforce unit of Twenty PLC, it has been announced.

News Article - Tuesday, November 13, 2007 11:30
Filed under: Outsourcing



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