Are you a business ready to integrate AI , IOT or Blockchain in your developing applications? Well, if so then you are on the right track to bring the latest Outsourcing trends for your business. We all know that IT outsourcing trends have had an overpowering effect after the global pandemic. None of the enterprises haven’t tapped the benefits of IT outsourcing. The global IT outsourcing trends can boost your business and bring quality of service, higher scalability, access to latest technology trends and utilize latest technologies. This will give businesses a fair idea about how, why and whom to outsource their needs in 2022.
Table of Content
- The Overall Scenario of Outsourcing Software Development
- Top IT Outsourcing Trends in 2022 and beyond
1. The Overall Scenario of Outsourcing Software Development
Do you think outsourcing is a new trend? Well, It has been in existence since 1989. And after struggling for about years, it seems that outsourcing “as a concept” has paved its way across the globe at a large scale. Global outsourcing revenue seems to have soared up to $104.6 billion. Further below I would like to shed some light on certain outsourcing eye-opening stats to take into account. Certain Outsourcing Industry statistics to take into account –
- Around 93% of organizations have adopted cloud services to enhance outsourcing
- Saving money has become the major motivation for outsourcing services
- Spending on outsourcing increased to 13.6% of the average IT budget in 2020 after the COVID-19 pandemic
Apart from these outsourcing statistics, I would like to mention a few reasons emphasizing why you must consider outsourcing providers right away. Basically, the benefits of outsourcing.
- Of course, the budget – By choosing IT outsourcing service providers you can save a lot in regards to money, time and energy. Eastern European countries, Asian countries such as India have turned up as the finest outsourcing destinations to consider worldwide where the talent pool is wide and the cost of development is relatively low.
- Access to a huge talent pool of programmers – With the IT outsourcing industry you can reach a wide range of programmers who are skilled and experienced in dealing with emerging technologies.They capable of keeping up with all the innovation appearing everyday and possess all the needed skills.
- Less Distraction – And since you have a tech partner who can focus on digital transformation and existing technologies. Moreover, how machine learning, virtual assistants, AI, can be used to enhance your business operations , you no longer have to worry about the same.
- Get rid of those stringent rules of the in-house team – Outsourcing vendors or tech companies can offer cutting edge transformative solutions enabled with data-driven insights. Yes, one no longer has to deal with unnecessary headaches such as paid leaves, penalty rates, and so more.
2. Top IT Outsourcing Trends in 2022 and beyond
Things keep on changing dramatically especially in the IT industry these days at a lightning speed. Fortunately, the pandemic has taught us one thing no matter what you have to cope well and become more adaptable, resilient, and responsive.
But before you choose outsourcing partners, here I would like to mention some of the top IT outsourcing trends to consider especially in the unprecedented times of 2022. Also, one shouldn’t avoid the fact that tech companies managing multiple vendors have successfully changed into a strong partnership with better collaboration. So without any further ado, let’s begin with current outsourcing trends.
2.1 AI, IoT, and Robotic Process Automation
In the upcoming times, the demand for buying services and goods online is going to be incredible. And why not, especially when we all know how online shopping has made things convenient for everyone – businesses, outsourcing partners, customers leading to an improved global economy. So yes, AI/IoT, Robotic automation process can be considered as one of the top IT outsourcing trends..
Now what is so fascinating about AI or the IoT technology? It comprises business automation , a functionality that is a must-have if you want to survive. Another aspect of AI technology is robotic process automation. It is pure magical! All the applications with the help of this functionality can update themselves by learning procedures. Gone are the days when an app used to work simply on commands. In addition, such business apps could be developed resulting in delivering the correct information as well as avoiding errors and enhancing productivity.
Moving on, with robotic process automation it has become possible to reduce operation costs, improved work coordination, and less manual mistakes.
2.2 Cloud Computing & Cloud Platforms
When speaking about digital innovation or outsourcing trends, we cannot leave cloud computing behind. Among all the innovations, PaaS, SaaS, and IaaS markets cannot be ignored. . Of course, combining software development and cloud computing might seem a pretty demanding and costly procedure initially but later on, you will feel relaxed when this strengthens your outsourcing core and ensures business continuity for the long run. Many Companies will tend towards outsourcing effective cloud platforms.
What is possible by using Cloud computing? Right from high-end data protection to conducting faster data operations, enhancing business procedures and what not!
2.3 The Rise Of Specialized Software Development Companies
I am sure you will come across a plethora of options when considering developing a strategic partnership with your outsourcing provider. Now how’s that, you may ask? Well, either you can choose a tech partner who offers full-fledged services or try to choose different services offered by different vendors.. And that’s the reason why this is one of my favorite outsourcing trends to take into account.
To be precise, evolution is happening at a fanatic pace. Do you think having an in-house team can keep up with all these never-ending innovations?Probably not!
2.4 High Demand For Blockchain Services
The financial information needs high level security and with the rising data breach concerns, it is a high priority for businesses to safeguard their financial information. Blockchain technology has disrupted the finance sector by coming for a rescue. However, it will have a comparable impact on other industries, including software development outsourcing, in the coming years. There is a spike in the development needs and hence for the developers too. Developers may use blockchain to construct apps that store sensitive data across multiple decentralized computers.
For businesses looking to outsource IT tasks or store data in the cloud, this protection is appealing. Blockchain also makes it so much easier to derive value from data in the form of business intelligence due to its decentralized nature (BI). We expect the need for blockchain outsourcing to increase as more firms recognise its potential.
2.5 Rise of Progressive Web Apps
Recently a wave of progressive web apps have arisen. The world has been craving for more apps, the better ones! Now why progressive web apps? Well, ordinary mobile applications are unable to give the feel of web-like experiences. Well, PWAs are mainly designed to create a mobile application-like experience at websites. Moreover, they are easy to develop and maintain.
There are times when businesses do want a strong online presence but still are reluctant about creating a mobile app or even a mobile version of the website. But what if their target audience wants a mobile app? PWA comes to the rescue. Some of the unbelievable benefits of using PWAs include flexibility, SEO-friendly, cross-platform , low cost of development, high performance even in no-network.
With security breaches happening day in day out, cybersecurity has become one of the major IT outsourcing trends and concerns to take into account. After the pandemic, More and more companies are compelled to work remotely and all of this has happened in such a rush that nobody has time to prepare for cybersecurity. As a result, nothing can save them from cyberattacks.
Fortunately, several companies and modern clients do understand the significance of becoming compliant with GDPR (General Data Protection Regulation).
2.7 Remote Work
The post pandemic has brought change in the way we work. Remote working was never in picture until before but then this is the new norm now. Everyone is now aware of the fact that working from a location other than the office is referred to as “remote work.” It can be done on a regular or temporary basis, and it frequently entails communicating with coworkers and clients using technology.
As more individuals learn about the advantages of remote work, it is becoming increasingly popular. Remote working offers multiple benefits such as enhanced flexibility, increased productivity, and improved work-life balance are just a few of the benefits.
Without a doubt, the number of people looking for remote jobs will continue to climb, and more firms will offer these positions. As a result, outsourcing companies will have to hire more people to keep up with the demand.
2.8 Strategic Partnerships Finding
Development irrespective of its type is always a team effort. There is no I or me, it’s always considered as we or us. Therefore when you happen to work with so many people all at once it is advisable to have a solid rapport and collaboration to create a partnership that lasts for the long haul.
Now partnerships don’t happen just like that, one has to strategize immensely and lead a proactive role and it’s better if you are the one to do so. But the question is how? To begin with, you can try conducting effective communication. Since it’s a two-way street just ensure that both businesses, as well as outsourcing partners, stay in touch every now and then. Fortunately, we have a plethora of tools around to aid for example skype, Whatsapp, Google Meet, Zoom, Facetime, and whatnot! Also, try having scheduled bi-weekly or monthly meetups. Here you won’t just get to know the progress of the project but also can discuss the emerging trends and changes required to be done in the following project.
The next aspect to consider is not to be rigid. The world of software development is changing every second and so should you. Try to be as flexible as you can whatever decision you make just ensure that it’s for the betterment of the project. Above all, trust your tech partner. Yes, they are here for a reason so trust them they exactly know how to get things done right.
The last one on the list is being adhered to newly-emerging regulations. With the changing technologies, how can one expect the rules and regulations to be the same? As a result, even outsourcing service providers will be asked to be flexible and adaptable to the ever-changing regulations.
Before signing any contract just ensure that all the mentioned clauses are right in accordance with the new procedures and all costings are mentioned upfront. Now you must be wondering what if the chosen company does not adhere to the latest rules and regulations. Well, you might not get adequate productivity in regards to work, desirable outcomes and to top it all, enhanced security.
Moreover, if a software development company is great in regards to agility it means you are bound to get the best possible outcomes. It may quite interest you to know that the term agility means being okay and adaptable to the change in the surroundings. Apart from this, Incorporating digital technology within your existing business doesn’t mean you have to spend extravagantly.
So this is it! That’s everything you should know about IT outsourcing. The future of the IT industry is extremely bright. All outsourcing services needed must consider best practices so that they can stay in the league for the long run. So that’s all for now! In case, if you have any doubts or queries, feel free to mention that in the comment section below.