In this article, you will find all the necessary information about IT outsourcing:

  • what is outsourcing,
  • what are its benefits for companies,
  • what models exist,
  • what are the types of outsourcing hiring and,
  • why MD3 is the ideal outsourcing company for your business.

Definition of outsourcing

IT Outsourcing is a term used to refer to the processes of subcontracting the work of IT professionals, who work in the areas of infrastructure, management, control, and maintenance of systems and everything related to a company’s information technology.

We already know that the IT area is extremely important for the development of companies and is essential to achieve success in operations. However, ensuring the best technology and always being up to date requires great financial investment and internal effort.

By opting for outsourcing, companies can count on qualified professionals, with the necessary resources to meet their needs and thus achieve better results. In this way, the teams that work internally can focus on the company’s core business and optimize their performance.

The market is becoming more and more modern, technological, and competitive

For a company to achieve its goals and grow in its area, it needs to adopt the best technological solutions available. Mainly to be capable of optimizing business management.

To achieve the goals, they need IT teams that have qualified professionals and a good infrastructure. However, we know that this involves high investment, and not all companies are able to assume this responsibility.

As an alternative to these difficulties, IT outsourcing presents great results and attracts the interest of many entrepreneurs, from the most diverse areas. Many entrepreneurs are aware of the strategic importance of building an efficient IT infrastructure. However, many times they are so concerned with the several demands of the company that they do not invest so much in this area. And it is here that the outsourcing of IT services emerges as a viable alternative.

Outsourcing presents a better cost-benefit solution

This hiring modality presents itself as a more cost-effective solution for businesses. Because it offers several advantages:

  • besides a lower cost, when compared to the implementation of an internal IT team, by contributing to savings in the acquisition and maintenance of solutions,
  • it also offers the possibility of greater monitoring, failure prevention, and greater process flexibility.

Still, on the necessary investments, IT outsourcing is becoming more and more accessible. It allows third-party suppliers to offer services specific to a company’s needs, without large investments in infrastructure or the elaboration of contracts for large projects.

Another situation that has been quite common in the business environment, is the case of institutions that maintain an internal IT team and use IT outsourcing for specific services or as specialized support.

A company that opts for the outsourcing model will have the support and backing of specialists, ready to act in solving the problems that affect its business.

And so, difficulties related to development, maintenance, and security, stop being concerns of the internal team, or the IT manager, for a portion of the value that would be required in the implementation of an internal team.

10 Benefits of IT Outsourcing

1. Cost reduction and increased productivity

In most cases, IT outsourcing is negotiated based on the offer of a package of services by the outsourcing company. By signing a contract with this company, expenses such as equipment, management, and training of professionals are eliminated. These attributions become the responsibility of the company that provides the service.

2. Quality assurance of IT services and specialized support

By hiring a good outsourcing company, your organization can count on professionals who have advanced techniques and experience for problem-solving, deep analysis of what the best options are, and the supply of plans and programs to help your business prosper and reach its goals.

In addition, an IT outsourcing company can provide services through specialized professionals to act in hardware, software, network, internet, storage, and any other IT problem that may arise.

3. Greater focus on business

From the moment that the concerns with the internal IT area cease to exist, it creates time and opportunities for the teams to work with a greater focus on their business strategies.

4. High availability and agility in solving problems

Outsourced companies solve problems faster because the contracting company can count on a modern, specialized, and up-to-date infrastructure that acts quickly and assertively.

5. Reduction of operational failures and agility in correction

Failures happen in all sectors and in all areas, but by opting to hire an outsourced company specialized in IT, your company will always have a team on hand to act quickly and effectively.

6. Hosting updates and standardization, and implementation of new technologies

An updated and standardized IT environment allows the service to be more effective since the updated and standardized tools and equipment offer the possibility of maintenance being done in a more assertive way. Besides making it possible for hard disks to be stored in another environment, which allows information to be rescued in cases of data loss.

The standardization of technologies also prevents problems of incompatibility between hardware and software and allows the integration of different systems.

The updating of a company’s technological park, provided by the outsourced companies, includes the possibility of enjoying new updated and agile equipment, and their maintenance, guaranteed by the outsourced company. In addition, the solution allows employees to perform better and deliver better results.

Another positive aspect of IT outsourcing is related to the possibility of innovation. By counting on a modern company with up-to-date professionals, the possibilities of positive business results increase considerably. The outsourced company has the knowledge and tools necessary to help its client innovate through digital solutions.

7. Focus on users and higher customer satisfaction

8. Correct system management

The right IT system management performed consistently and efficiently is essential for the system to work uninterruptedly, performing well and securely.
With IT Outsourcing, your company can count on a team of specialized professionals who are aware of the best and most current market practices

9. Data and information security

Through a capable IT provider, your company’s computer system will be safer and supported by a variety of security management and risk prevention services.

Thus, the contracting company will have the necessary support to ensure the protection of individual equipment and of the company’s overall structure, especially in times when companies are increasingly going Home Office and are thus outside their protected company environment.

10. Return on Investment (ROI)

The last benefit on the list concerns the possibility of outsourced solutions operating in accordance with the focus and objectives of the contracting company.

Because through the alignment of IT with business, it will be possible to contribute to more assertive decision-making, adding greater value to deliveries and contributing expressively to good results.

Thus, making it possible for the investments to return to the contracting company.

IT Outsourcing Models

Below we have listed the 6 main IT Outsourcing models, and based on the information presented, we will help you find the model that best meets your company’s needs.

1. Hardware as a Service (Haas)

Hardware as a Service (HaaS) is a model focused on the supply of IT equipment adequate to the client’s needs, without the need for high investments.

The proposal of this model is to guarantee the client a package of services, which includes machine installation, configuration, technical support, and maintenance. The main advantage for the contracting company is related to the payment, which will be made through a monthly fee that can vary according to the increase or decrease of the customer’s needs.

HaaS is commonly used by small and medium-sized companies, which at the moment have no interest in investing in equipment, but intend to provide their employees with state-of-the-art equipment.

2. Software as a Service (Saas)

The hiring of this model happens through the acquisition of a subscription, which will allow the client to have access to the software it needs.

After this contracting, the services can be used online, or by installing a package of programs in each equipment.
With SaaS, companies can have access to the tools they need, with more flexible prices, and a more complete software package.

3. Desktop as a Service (DTaaS)

The Desktop as a Service (DTaaS) proposal consists of a virtual desktop that is accessed through various devices in a protected environment.

This model offers the possibility of hiring a service provider, who is responsible for guaranteeing all the necessary environments and software for the execution of a company’s demands.

Different from the other models, the focus here is not on the equipment itself, but on guaranteeing a desktop available in a cloud of services, with all the data and applications necessary for the work to be done.

4. Device as a Service (Daas)

A device as a Service (DaaS) is a more complete solution because it delivers equipment and services to the client in a customized way. Thus, the contracting company can count, through a monthly payment, on the hardware and software that meet its needs.

This way, it is possible, for example, for a company to contract a service that involves all the hardware, as well as all the necessary programs, investing only the value of a monthly installment. Another characteristic of this model is that the entire data storage process is performed in a central server.

5. Workplace as a Service (Waas)

This model is based on the increasing needs of companies to guarantee employees flexible access to their work environments, regardless of the equipment used or the geographical location.

The central proposition of the Workplace as a Service model is to provide access to all the tools and devices needed to perform tasks.

In addition, it enables data sharing, interaction between colleagues, and collaboration between teams, via cell phone, tablet, or computer.

6. PC as a Service (PCaaS)

PC as a Service is the most complete IT Outsourcing model, as it presents both infrastructure and service management solutions. With the adoption of PCaaS, your company will have at its disposal desktops, notebooks, tablets, and other devices, all of the latest generation and ready to work, in addition to updated software prepared for use.

This model can be the ideal solution for companies that need quick provisioning of the technological park to start a new project, regardless of the area of activity. It can also be a great option for companies that need technology and support of high quality and performance but do not want to invest in the acquisition of this equipment.

What are the formats of IT outsourcing contracting?

There are three different types of IT outsourcing: offshore, onshore, or nearshore.

Offshore outsourcing

In this model, the functions assigned to the outsourced company are performed in another country. Migrating mainly to developing countries, which have cheaper labor and therefore can offer lower costs to the contracting company.

Onshore outsourcing

The onshore model refers to the outsourcing of services through companies that operate within the same city, region, or country. Hiring companies in the Onshore outsourcing format allows many headaches to be avoided, such as difficulties involving currency exchange rates, location, language, and cultural differences that can vary abruptly from one place to another.

Nearshore outsourcing

The nearshore contracting format can be considered a compromise between the two previous ones. In this model, the outsourcing company is hired in neighboring countries or nearby regions. This helps to reduce time zone, language, and cultural differences.

When should I opt for an IT outsourcing service?

To help you decide whether or not to adopt an IT Outsourcing model, we show you the 3 main factors that may be harming your company’s performance and that can be easily reversed by hiring a specialized IT company.

  • Low team productivity
  • Recurrent security failures
  • An internal IT team without time to act strategically

In short, the IT outsourcing models can be the solution for the most diverse problems faced by companies in the most diverse areas.
By hiring outsourcing companies, your company can have access to highly qualified professionals, eliminate expenses with direct hiring, whether fixed or temporary, optimize the time and quality of the work developed by your company’s employees, more flexibility and ease to increase or decrease the IT team, besides avoiding all bureaucracy and high costs that involve hiring many collaborators.

MD3 is an IT solutions company that works in outsourcing regimes for several projects.
Together, we go beyond the boundaries of technology to transform ordinary businesses into something extraordinary. Following an Agile approach, we are committed to creating innovative digital products from scratch or helping your team remotely. Talk to us.