Companies outsource technology for technical support, new technology development, and existing technology configuration. Outsourcing is chosen based on goals, such as upgrading products or services, expanding into vertical markets, or optimizing business processes. Outsourcing is often necessary for projects that require special training or are not manageable by in-house staff.
There are three main types of technology outsourcing for companies: technical support, new technology development, and existing technology configuration. The type of technology that a company or organization outsources chooses depends on its goal, whether it’s to upgrade products or services, expand into vertical markets, or optimize business processes. While many organizations have at least one IT professional on staff, most choose to outsource projects that require special training or are not manageable by in-house staff.
Outsourcing technology for technical customer support requires that the outsourced company be fully trained and familiar with the product or service so that they can provide customer support on behalf of the company selling it. For example, a company that produces software or hardware might outsource a company that provides technical support to customers through call centers. Since most technical support can be administered over the phone, email, or instant messaging (IM), the outsourced call center is sometimes located in a different country or even a continent. The practice of hiring other companies to provide support to your customers is sometimes referred to as “nurturing” the customer service side of the business, and is often a necessity for growing companies.
Organizations might also choose technology outsourcing when they are striving to develop a new technology. Typically, in this case, the organization has a general idea of the type of technology product or service they would like to sell or license, but lacks the technology expertise to create such a product or service. For example, if a paper-selling organization decides to expand into the sale of paper-based technologies such as printers and scanners, they can outsource a company that manufactures these products to design one for their brand. Expansion into complementary or “vertical” markets often requires technology outsourcing and is a desirable goal for companies eager to grow.
Organizations that have been around for some time and continue to rely on old business processes will likely need technology outsourcing at some point. For example, a government department that traditionally uses a manual method of processing tax returns might outsource a software company that can configure a special type of software for your department’s unique needs. Some companies specifically design software for certain niche industries, such as accounting firms, salons, or government departments, and then configure the software to suit each client’s individual needs.
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