| Is all outsourcing the same? |
 | No. Conventional outsourcing is all about saving money. The hot new concept is transformational outsourcing. Transformational outsourcing is an emerging form of IT outsourcing that combines cost saving with the potential for enhanced IT flexibility. According to Prof. Paul P.Tallon, Carroll School of Management, Boston College, the crucial issue in times of increased economic uncertainty is using IT to strengthen strategic flexibility, i.e., responding easily and quickly to changes in the environment by adapting IT aspects: connectivity, compatibility, application and data management. Nevertheless, being forced to economize, several prominent on-line businesses have sacrificed IT budgets, unaware of how they are potentially hampering the corporation's ability to respond to external events. Transformational outsourcing is an alternative that avoids such critical situations.
A 2002 study published by International Data Group, revealed that an increasing number of corporations are using transformational outsourcing as a way to introduce much needed strategic flexibility into their business models. More and more frequently, business and IT executives are not just cost-focused when considering outsourcing but rather investment- and/or opportunity-focused.
Transformational outsourcing means you have an on-going relationship with a savvy IT team - one that knows your business and is available when you need them, allowing you to concentrate on core competencies.
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| Do I still save money with transformational outsourcing? Are there special benefits? |
| Yes, transformational outsourcing offers the same cost savings, but you get much more in both short- and long-term benefits:
Short-term
- You gain just-in-time access to a team of highly-qualified IT specialists (including developers, designers, testers and managers) with the required skills and in the desired number.
- You gain cost reduction for IT engineering and maintenance due to our lower labor cost.
- You save time from the concentrated effort of a knowledgeable, well-equipped team that works when you're sleeping.
| Long-term
- You only pay for the actual hours they work - not for their being on the staff.
- You can access experts in whatever technology is needed to satisfy you, or your clients' needs.
- The savings, both cost and time, can be directed to the more strategic goals of your business.
- You benefit from shorter time-to-market and higher customer satisfaction.
- Your core IT team can concentrate on client satisfaction and strategic innovation.
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