Nearly 70% of IT leaders to increase outsourcing

Share post:

According to research performed by software development business JetRockets, almost 70% of IT executives are increasing their demand for outsourcing as a result of a continuous labor scarcity, with some deciding to source personnel locally.

According to the survey, this trend is being driven by “extraordinary pressure” brought on by the rising need to digitize processes and provide distinctive experiences for both consumers and staff. In addition to global uncertainties, broad budget cuts are driving businesses to change their methods to exporting personnel.

The JetRockets report surveyed more than 400 IT professionals in CIO and CTO roles in the United States to get their perspectives on IT outsourcing and how they intend to use third-party suppliers in the future year.

According to the survey, political tensions in India, China, Russia, and the Ukrainian crisis have influenced the IT outsourcing sector, pushing IT leaders to rethink their outsourcing plans. According to the research, more than half of US enterprises solely outsource their IT to foreign nations, with 24% of them exporting overseas. Yet, the crisis in Ukraine has already had an impact on 67% of firms’ IT outsourcing strategies, with 36% acknowledging that it has had a major impact.

According to the survey, after years of largely outsourcing to foreign partners, US corporations are now changing their attention to local partners. Web development and maintenance (33%), information security (30%), and data center operations (30%) are the top three areas that respondents plan to outsource this year.

The report suggests that outsourcing will play a significant role in allowing organizations to fulfill their responsibilities this year, with 35% of respondents saying that outsourcing will be important. The cost-driven model for outsourcing IT is changing, and organizations are now seeking partners who understand their organization, keep their data safe, and deliver high-quality products and services.

The sources for this piece include an article in TechRepublic.

SUBSCRIBE NOW

Related articles

Spotify CEO confesses to “rough times after layoffs” – stock price rises

In December, Spotify CEO Daniel Ek announced the largest round of layoffs in the company's history, cutting 1,500...

Zuckerberg shares his vision with investors and Meta stock tanks

In an era where instant gratification is often the norm, Meta CEO Mark Zuckerberg’s strategic pivot towards long-term,...

Apple reduces forecasts for Vision Pro as demand cools in key US market

In an unexpected shift, Apple has drastically reduced its shipment forecasts for the upcoming Vision Pro, indicating a...

FTC says Microsoft’s layoffs at Activision Blizzard may threaten merger approval

The FTC has expressed dissatisfaction with Microsoft's layoffs at Activision Blizzard, challenging the integrity of the Microsoft-Activision deal....

Become a member

New, Relevant Tech Stories. Our article selection is done by industry professionals. Our writers summarize them to give you the key takeaways