IT outsourcing: advantages and disadvantages

IT outsourcing or facilities management is a practice that has many benefits for a business. We can mention among others its financial interest. That said, it is not without risk.

Before considering this solution, any company must know the danger of IT outsourcing in order to be protected from it.

Why use IT outsourcers ?

The definition of IT outsourcing refers to a practice that links two companies, the the client and the provider. It consists in entrusting part or all of the operations of the IT department to the latter.

It is often implemented in order to to control the costs. By outsourcing, you reduce the costs of the recruitment and hiring process. In the case of the IT department, this practice also decreases the expenses related to the purchase and upgrading of the IT infrastructure.

Of course, its advantage is not only financial. Outsourcing gives you access the best skills in the field. An outsourcing company puts at your disposal a team with confirmed know-how.

Outsourcing even a part of your tasks will also allow you to save time. Also, sometimes a company outsources even if it has the skills in-house. The objective is then to focus on value-added activities.

The IT outsourcing is a practice accessible to any company, whatever the size and the sector of activity. It can be advantageous for any structure, as long as you protect yourself against the danger of IT outsourcing.

What are the risks of IT outsourcing ?

For some companies, outsourcing the IT department can be a good idea make people lose control of their activities related to it.

You can, however, put in place an internal manager who takes care of the service and ensures the link with the provider. The latter must have the ability to organize the relocation of outsourced missions when necessary.

Choosing the right provider This is also crucial for the collaboration to run smoothly. Indeed, with an unprofessional company, you risk being confronted with a delivery problem or a delay in the execution of the missions.

The quality of the rendering is also a major issue in the IT outsourcing. How to be sure to get the expected result ?

The drafting of a schedule of conditions will reduce the risks. You must fill in the provider’s missions in this document, in a precise way. Of the regular exchanges It also allows to agree on the objectives to be reached and the deadline to be respected.

It is important to know that some outsourcing companies subcontract themselves to an external provider. You must therefore check that the company you request and possibly the second subcontractor are able to perform the expected work.

Furthermore, make sure that the service provider respects the regulations in force in France and in Europe for the protection of personal data. The compliance with the RGPD is for example important.

Beware of your VSE subcontractors vulnerable to cyber-attacks

The security represents another danger of IT outsourcing, that you should not take lightly. Threats are numerous with hackers using different techniques to bypass the existing security system.

But how to secure the data of a company, especially in the context of outsourcing ?

To protect the company against hacking, espionage and data theft, it is strongly advised to choose a subcontractor able to guarantee the existence of security solutions and their performance.

Before signing the contract, find out about the system deployed. What solution is put in place to protect the computer networks ? Is the data encrypted? ? What protection for sensitive data ? How does the provider manage the authentication system for users ? Does it carry out a security audit regularly? ?

Do not hesitate to transcribing your needs and requirements into a written contract, signed by you and the external service provider. It must make clear its obligations regarding the treatment of confidential data, their return or their deletion at the end of your collaboration. You can also demand to be informed in case of security breaches that presents a risk for your company.

The transparency on both sides is essential for carry out an outsourcing. Moreover, do not sign the contract before having all the information on the conditions of execution of the delegated missions.

As a reminder, you can ask the ANSSI (National Agency for Information Systems Security) to help you secure your IT system, whether it is in-house or outsourced.