IT outsourcing accelerates at pace

New research confirms what we've been seeing in the market: firms are increasing their use of IT outsourcing.

As ever in an economic downturn, the main driver of the increase is the desire to cut costs. That contrasts with the growth in the market we have witnessed in the last few years which has been digital transformation - the desire to leverage cloud, SaaS and emerging technologies like AI, automation and blockchain.  

It's not just about cutting costs though. More than half the respondents to the survey see ITO as a means of enabling them to focus on their core business. This is especially important when companies need to put more effort in than ever into keeping in touch with their customers, suppliers, employees and other stakeholders.

This calls to mind the famous quote by management guru Peter Drucker: "Do what you do best, outsource the rest." While that doesn't necessarily work in a world of complex interconnected technologies, nor with the need for customers to maintain a level of control of their IT ecosystem, the survey bears out a trend we look forward to seeing continue.