Business technology is rapidly evolving and companies are compelled to undergo a “digital transformation” to keep up with competition. It is such a boardroom priority today that according to the latest Worldwide Digital Transformation Spending Guide from the International Data Corporation (IDC), global spending on digital transformation technologies and solutions will reach $2.0 trillion in 2020.
ePLDT, the industry-leading enabler of digital business solutions for enterprises in the country, believes that due to the increasing focus on going digital, many companies will find that outsourcing their IT infrastructure & operations is a sound and strategic decision.
IT outsourcing is an option where an external services provider — in this case, experts in Information Technology — manages a company’s IT infrastructure for the purpose of business development. One important IT task that is commonly outsourced is operational maintenance, where the external service provider takes care of managing software, physical infrastructure, data security, and the like.
“Undergoing digital transformation requires a company’s in-house IT department to work with emerging and constantly evolving technologies. This can put a strain on their resources. Outsourcing IT takes their hands off the more mechanical tasks enabling them to focus on the strategic part of their responsibilities,“ said ePLDT Group Chief Operating Officer Nerisse Ramos.
Companies that offer Managed IT services are called Managed Service Providers (MSPs). They bring world-class knowledge and experience to an organization on an ongoing basis. With an MSP to lean on, companies can have access to new technologies and know-how that include tried-and-true policies. And despite applying the latest technologies, companies can save up on money through outsourcing since most MSPs operate through a subscription-based model which minimizes capital expenditures and mitigates the risk of obsolescence.
“Digital transformation requires very specific skills to stay up-to-date with emerging trends. Due to this, it can be a difficult task especially for companies whose core business is not IT. In cases like these, outsourcing can significantly help manage the risks as well as resources since the implementation is handled by IT experts, while the in-house IT department can devote their undivided attention to achieving business goals,” Ramos added.
By outsourcing IT, the benefits translate not only to cost savings, but also to overall business productivity. A recent Deloitte survey revealed that 59% percent of survey respondents said outsourcing reduces costs, 45% believed it’s useful in finding unique ways to address capacity issues, and 29% thought it boosts a company’s chances to scale globally.
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