Increasing IT complexity and need for data security drive growth in outsourcing

New global research released shows that the cost of keeping pace with IT complexity and the increasing need for data security is driving companies to embrace outsourcing. These were the top two challenges in managing an IT infrastructure identified by senior IT staff in 330 businesses in the UK, US and the Netherlands

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Cloud approaching dominance
The research, which was carried out by Censuswide on behalf of Jitscale, also uncovered some key trends in outsourcing business critical IT infrastructures and the increasing role of the Cloud. In fact, 60% of businesses are using cloud infrastructures – 31% hybrid and 29% solely cloud infrastructures. In the USA, the Cloud is now the largest single infrastructure with 36% of companies having already moved to a complete cloud based approach. This compares to just 24% in the UK who have a cloud only infrastructure.

The cost of keeping pace with new technologies such as the Cloud, and the security issues this raises, seems to be fuelling a move to outsourcing. However, while outsourcing is now represented in the majority of companies (53%), 41% are using a blend of partly in-house / partly outsourced IT. About one in eight of companies have completely outsourced their IT. Another contributor to the growth of outsourcing may be the challenge in motivating, retaining and up-skilling IT staff in an increasingly complex IT environment. This was the third priority for respondents.

Outsourcing growing in the UK as belts continue to tighten
Even though outsourcing is not as strong in UK and USA as it is in Holland, in the UK the combination of partly in-house and partly outsourced methods is now seen in 42% of respondents – whereas the USA in-house IT is still the largest segment (54%). Although only (9%) of companies in UK have already completely outsourced – over half (51%) have some form of outsourcing in the mix.