Choosing between hiring in-house employees or outsourcing them to an area in your local town for example IT support in Leeds has become a common and legitimate business decision point today. The rise of affordable and specialized companies in the business process outsourcing (BPO) industry has created a cost-saving option for small and medium enterprises. This option, like any other business solution, is not applicable to every business there is.
An IT support team makes or breaks the speed of information processing in an organization. Failure in this field would mean multiple failures across the company’s processes. On the other hand, overcompensation in this area could mean unnecessary expenses on the part of the company, especially because IT support teams normally require large amounts of investment. Choosing whether to outsource an IT department or hire an in-house IT support team is a highly important decision. Here are some advantages of each option as a guide for decision-making.
Advantages of Hiring In-house IT Staff
- Employee-Employer Relationship – One of the most pertinent advantages of hiring an in-house staff is that they would be bound by the relationship between an employer and an employee. This binds them to laws regarding internal company information, which would help in keeping company information private. This would work well in companies engaged in accounting, law, medicine, and other industries where information is an essential competitive advantage.
- Control of the Training – Being able to train your own employees would put your mind at ease because the standard and the type of training would be within your control. An accounting firm, for instance, would benefit from the control of IT trainings because they direct training efforts towards the development of software which would help speed up the accounting process..
- Level of System Sophistication – Being able to build an entire IT support team for your business would allow you to select both the people and the material resources needed to make it functional and sophisticated. For instance, large law firms handling the information of Apple Inc. or IBM may be too hard. This is why they would need supercomputers to store, analyze, and archive these information to ensure efficient operations. Hiring a whole team working towards this design would help in achieving business goals faster.
Advantages of Outsourcing IT Staff
- Opportunity to Save – Outsourcing employees have proven to be a cost-saving option for most companies. For instance, hiring employees overseas where market wages are lower would allow a business to perform its functions properly without having to spend more on high rates and higher benefits required. A small travel agency in the US may be inclined to hire a group within a call center in the Philippines because of the cheaper wages imposed there. This would both lower the costs and have the opportunity to work with a multicultural team.
- Low Commitment Cost – The nature of services provided by business process outsourcing companies allow their customers to opt out of contracts in case the services are no longer needed, or if the services are not satisfactory. This makes the use of outsourced IT staff more practical because it does not require long-term commitment costs like equipment depreciation, benefits, and other pertinent costs like dismantling costs for the department. A small accounting firm depending on an outsourced IT support team would have an easier time adapting to situations since their circumstances involve flexible IT arrangements.
- Specialized Industry – while people may argue that the learning curve for business process outsourcing companies are quite low, it should be noted that these companies still specialize in providing a wide array of services, making them more flexible in working towards any type of business. They also have equipped trainers who are qualified to pass on knowledge to their members as soon as they start working. A small business needing tech support would only be able to
There is no one business solution to all business problems. Each option in this case is viable, depending on the circumstances surrounding the business decisions. What’s important here is to find what makes each option valuable, and weigh which advantages would benefit the companies more in the long run.