When Should You Offshore IT Services?

December 23, 2021
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When should you offshore IT services?

  1. Cannot keep up with customer demand
  2. Lack of in-house talent and want to reduce costs
  3. Need more time to focus on core business functions
  4. Require continuous IT services

It can be challenging to decide when to offshore IT services. However, if you find that your company is experiencing any of the following situations, it is a telltale sign to seek assistance from offshore IT staffing. Once IT demand increases, most companies fail to keep up. During this era heavily driven by tech trends and developments, every company must have dedicated and highly skilled IT teams to ensure business continuity and competitiveness. Offshoring refers to delegating specific business tasks to be accomplished abroad, often to reap certain benefits. Nowadays, you can offshore a variety of IT roles. Take offshore IT staffing in the Philippines as an example. You can gain access to well-seasoned professionals in the field of DevOps engineering, cloud consultancy, tech security, and more while benefiting from more cost savings and English language-proficient personnel.Offshoring IT services has been recognized as a strategy that results in productive and growth-oriented operations. To help you make a decision, here are 4 signs that your company is ready to offshore IT.

Cannot Keep Up With Customer Demand

Experiencing an increased product or service demand is an indicator that your business is thriving. This means more customers are trusting what you have to offer. But when demand peaks and you fail to meet them, it may be a sign to offshore IT services.There are now a variety of offshore IT services that can benefit operations. Let’s say that you need to manage your e-commerce platform better. NetSuite is a cloud computing software suite that can manage business finances, operations, marketing, inventory, logistics, customer relations, and more. This means you can offshore a NetSuite developer to automate your e-commerce tasks.If you need more hands with your IT tasks, offshoring would definitely allow you to cater to customers’ demands better. This way you don’t compromise work quality and fail to meet customers’ expectations. A reputable offshoring company will efficiently achieve your delegated tasks and align your organization’s workflow.

Lack of In-House Talent and Want To Reduce Costs

Lack of In-House Talent and Want To Reduce Costs

Not all companies will have enough capital to hire in-house employees to meet their tech needs, especially startup firms.For instance, you may need a software developer to build an app or troubleshoot programming errors to better serve customers. However, hiring new in-house talents can be a pain because it requires money and time for extensive training. Some of the most well-seasoned software developers spend years learning about coding languages, data algorithms, source control, debugging, cryptography, cloud platforms, and more. There are also costs that come with office space and equipment.If you want to reduce costs effectively, then offshoring IT services may be for you. Most companies opt for offshoring because they save more. Offshoring provides access to employees who are already experts in their respective fields. They no longer require further training. To add to that, the third-party offshoring company is responsible for paying wages, insurance, paid sick leaves, and other benefits.And if you happen to offshore IT in countries with cheaper labor rates like the Philippines, your company can reduce more costs. Your incurred savings from offshoring may be enough to improve other core business functions instead.

Download the Salary Guide to compare average salaries of top NetSuite ERP professionals.

Need More Time To Focus On Core Business Functions

The pressure to keep up with new technology has never been more apparent, especially during these times where most business transactions happen online. Unfortunately, managing IT tasks are also notorious for eating up a huge chunk of time, which can distract your team from core business functions that matter.To make sure your in-house team pours their efforts on income-generating tasks like customer service and sales, try offshoring IT services. An error in your technology can hamper your company’s growth, but with dedicated offshore teams, you can rest assured your IT tasks are done efficiently and your business ​​will always stay competitive with new software.

Require Continuous IT Services

Require Continuous IT Services

Does your company need 24/7 customer service support or tech security support? Offshoring involves delegating IT tasks abroad. The time zone differentials allow your technology to be constantly monitored.Let’s say you have an offshore IT staff from the Philippines and your organization is from the US — there’s a 16 hour time difference. Offshore IT services can ensure your servers or apps are automated and functioning with backup.

Key Takeaway

In this article, we listed down some signs to guide you when to offshore IT services. Once you realize that you need offshore staffing solutions, get in touch with Atticus Solutions.Atticus Solutions is an IT offshoring company located in Ortigas, Metro Manila, Philippines. We support SaaS companies and cloud technology companies across Asia, the USA, Europe, and other countries. For your offshoring IT staffing needs in the Philippines, contact us!

Aspect
Offshoring
Nearshoring
Outsourcing
Long-Term Costs
Cost-effective for skilled talent
Cost-effective but needs initial investment
High, offers control and flexibility
Investment
Moderate, reduces overhead
Initial training and technology
Highest initial and ongoing costs
Benefits
Access to nearby skilled talent
Large global talent pool
Maximum control over operations
Download the Salary Guide to compare average salaries of top NetSuite ERP professionals.
Key Differences
BPO
EOR
Not over PHP 250,000
Tax-exempt
Not over USD 434.49
Over PHP 250,000 but not over PHP 400,000
15% of the excess over PHP 250,000
Over USD 434.49 but not over USD 695.18
Over PHP 400,000 but not over PHP 800,000
PHP 22,500 + 20% of the excess over PHP 400,000
Over USD 695.18 but not over USD 1,390.36
Over PHP 800,000 but not over PHP 2,000,000
PHP 102,500 + 25% of the excess over PHP 800,000
Over USD 1,390.36 but not over USD 34,759.04

Frequently Asked Questions

SALARY GUIDE EBOOK

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