How Covid-19 Is Impacting IT Outsourcing Industry
COVID-19 has greatly disturbed both the personal and professional life of the people. It continues to change the consumer behavior. Interestingly, some industries experienced more devastating impact than others.
The IT industry has also been affected during the pandemic, but its immediate response and shift to a work-from-home model helped survive it.
With the coronavirus threat seemingly not leaving the world any time soon, the offshore outsourcing industry has also been greatly affected by this pandemic.
Here, in this article, we bring you both positive and negative impacts of this outbreak on the IT outsourcing industry.
Let’s begin with the beneficial impact.
The IT sector emerged as a cloud with a silver lining of remote agile teams working from their homes. Software development companies have been working exceptionally to cater the demands of all sorts of businesses.
The best thing is that the world has significantly acknowledged this virtual working style and several organizations tend to keep it in the future when this global illness ends.
Business Expansion & Collaboration
Sounds weird? It is indeed.
Well, reality is far different.
Businesses need to expand their wings to ensure survival in the changing environment. A key challenge is to manage IT in-house and therefore many companies tend to outsource more work. The trend of hiring dedicated resources is likely to escalate in the coming months, following the Covid-19 pandemic.
Many businesses who never thought of consulting a web solution provider are now pursuing the need-based hiring and even partnering with other IT companies to cope with technology challenges.
Rising Demand of Cloud Solutions
Know what sets you apart? Exceeding the customer expectations.
For this, you need to continue new product development with remote-first teams, all while maintaining the preceding products and services.
Covid-19 is pushing a lot of businesses across all industries to seek new ways to address the pain points of their customers. During these challenging times, organizations are trying to bring in a new working mechanism essential to continue their business operations.
It eventually has increased the demand for expertise in the scalable cloud-enabled solutions and infrastructure outsourced to an IT outsourcing services provider.
Business Data Protection
Remote working model has become even more important amidst Covid-19.
However, at the same time, it has reinforced the threat of security breach.
The potential for data misuse and record tampering is also growing. It demands businesses to be more vigilant and take appropriate measures to circumvent the likelihoods of cyber attacks and even internal security breach.
The best possible solution for organizations, now operating virtually, is to engage with tech companies that can help strengthen their security through enterprise-grade cloud computing and blockchain solutions. It greatly benefits the IT outsourcing companies – bringing them more potential prospects and business revenue.
Let’s move on to the consequential impact.
The global lockdown has decreased the pace of the businesses. It wasn’t easy for the organizations to adapt to remote working. The same has wedged the offshore software development companies.
You may observe a bunch of IT companies might not have shown prompt response and taking appropriate measures. And, if they were operative, they may not have enough staff to meet daily goals. In brief, the current pandemic has impacted the business growth and development across all industries.
Professionals working from home like ours at ArhamSoft (Pvt) Ltd. don’t need a daily commute, but business meetings need travel which isn’t possible due to lockdown. The best solution we are applying to deal with this situation is work automation and communication tools such as Zoom, Zoho, and JIRA, etc., to stay connected with our valued people and clients.
Businesses need to develop and implement new strategic plans resonating the changing demands of covid’s ever-evolving situation.
Compared to the other industries such as real estate, retail, supply chain, and travel and tourism, the coronavirus outbreak has left a less devastating impact on IT industry and global outsourcing.
Let’s Cut to the Chase!
IT outsourcing empowers the businesses by reducing workload and overheads through offshore staff augmentation. Therefore, many companies tend to hire or partner with IT services providers amidst coronavirus when they may not engage an in-house agile development team. Moreover, they could also aid the healthcare industries through telemedicine solutions. So, whatever consequences covid-19 brings in, IT industry has more probability of recovery than others.