Are local IT services a better choice than foreign solutions?

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Are local IT services a better choice than foreign solutions?

When looking for a software services, you may wonder – to hire a larger foreign provider or a local IT company? This article will help you choose.

Information technology and cyber security are essential for the proper functioning of any organisation. Systems are rapidly evolving and becoming more complex, making it increasingly challenging for non-IT companies to manage processes on their own. In IT technology, not only quality, but also the speed of action are becoming increasingly critical. There are many tangible and intangible benefits of the local outsourcing model. This is a trend that continues to grow.

Why companies choose outsourcing?

More and more companies use outsourcing services to reduce costs, increase efficiency or gain a competitive position in the market. In the context of IT services, it means that control over the company's processes and IT infrastructure is outsourced to a company specialised in this field. The IT structure managed by a local IT company is a great convenience, mainly for the management staff. Managers do not waste time, save on costs and can focus on planning critical activities of their company.

According to a global outsourcing study by Deloitte:

  • 59% of companies said that cutting costs was the main reason for outsourcing IT specialists;
  • 57% of companies said that IT outsourcing services allowed the company to focus on core business functions; 
  • 47% confirmed that IT outsourcing solved their performance issues

Local outsourcing 

The geographical factor is prominent when choosing an outsourcing company. Local outsourcing solves many problems and has been permanently adopted, especially since the IT industry in Poland is quite advanced and you can find many qualified and reliable IT specialists. How to find the right service provider? 

In addition to the geographical factor, it is essential to match the IT company to the industry. The scope and size of the market in which the IT company provides its services should be considered. Their work experience that’s often limited to few fields, can significantly affect the quality, time and manner in which companies cooperate. 

The choice of local outsourcing seems more beneficial for companies than looking for it outside the country or even the city. It is because companies need to monitor work and interact with their colleagues daily. The chance to quickly collect data on the activity and systems/applications the client uses increases thanks to geographical proximity. And faster exchange of opinions and ideas can lead to better-finished products. 

Benefits of local IT services

1. Closer contact and personal cooperation

While face-to-face contact is optional for the duration of a service or project, it may be necessary if there is a breakdown or the project is not going as expected. Proximity, in this case, means: 

  • improved time management; 
  • a higher and more flexible level of control; 
  • potentially more significant co-responsibility of the service provider; 
  • the ability to conduct face-to-face meetings with team members during the same working hours; 
  • faster and more productive conference calls; 
  • the ability to update or change operating parameters and real-time monitoring. 

2. Common market and business model

Broadly understood IT outsourcing is primarily comprehensive support for the company by an external partner. However, only some third-party companies can be a partner. Knowledge of the domestic market and a similar work and business model can bring the best chances for a good partnership. Local partner: 

  • understands the service provider's business, acts proactively, plans and helps in development; 
  • takes responsibility for the operation and development of the partner company's IT environment; 
  • tries to be as close to the client as possible. 

3. No language or cultural barriers

The flow of information is one of the vital factors of good cooperation. Local outsourcing significantly reduces or even eliminates language and cultural barriers, and problems are resolved promptly and effectively. Shared linguistic and cultural background:

  • prevents discrepancies between goals and expectations;
  • minimises errors and misunderstandings that may result in a worse product or costly consequences;
  • eliminates the risk of possible mistrust, which can lead to a breakdown in the flow of information necessary to successfully complete services and projects.

4. Intellectual property protection

Legal protection of intellectual property (IP) is of enormous importance when using outsourcing services as part of the project. And data is one of the essential resources of companies. Copyright and IP laws vary by country. When working with foreign personnel, intellectual property may be at risk of being stolen or distributed worldwide without permission or legal protection. In the case of a local service, this risk is much lower. 

5. Financial saving

Local outsourcing brings undeniable savings on services and project management. It also has fewer hidden costs. Examples:

  • it is much easier, faster and cheaper to meet a local service provider in person than to visit foreign suppliers, cross time zones and pay for the travel; 
  • real-time communication and management means more timely collaboration between clients and contractors; 
  • valuable time is not wasted on educating foreign contractors on the procedures and protocols of the ordering company and their implementation. 

6. Subject to the same laws, procedures and protocols

Outsourcing locally means that when working with nationals of your country, everyone is covered by the same right

Clients can rest assured that should any legal issues, contractual disputes, or other issues requiring arbitration arise, any party involved will be covered by the same law. It is inherently more secure also in terms of the likelihood of a cyber attack or geopolitical event that could disrupt or shut down services.

7. Corporate Social Responsibility

As we know, the role of business in social life is of great importance not only on a global scale but, above all, on a local one. CSR is becoming one of the main determinants when choosing suppliers of outsourcing services because the purpose of CSR is to take into account the interests of contractors, partners, society and the environment in the activities of enterprises. 

It is beneficial to do business with IT companies that help the local community develop (investing in it through donations to schools, social programs, sports teams, etc.). It is a wise long-term investment for everyone involved, not only because of the financial results. Read more about the aims and benefits of CSR here: Corporate Social Responsibility – voluntary choice or necessity?.

Summary

Choosing an IT company in a close geographical range has undeniable advantages and seems more practical than using the services of foreign corporations. Collaborating with a team located in the same country or even in the same city runs easier. There are no cultural or language differences or restrictions, such as time zones, for real-time on-site monitoring. The advantages also include legal conditions. 

If your company is looking for a software provider that will quickly and perfectly understand its technological needs, we invite you to contact WEBSENSA experts. We tailor our services to meet our clients' specific needs through direct collaboration. Are you interested? Please contact us

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