In a study led by industry experts, outsourcing can reduce 15% to 20% in cost savings. While both in-house team and outsource team have their own pros & cons have several challenges, outsourcing has proven to be more fruitful in comparison to the project handover to in-house team. Especially, when it comes to performance measure and quality control, outsourcing has manifold advantages over the other side. There are the following key factors that helps us to evaluate the performance in either of the two options:
Cost Factor: Hiring in-house team for working on IT projects is much costly and requires huge capital investment. On the other hand, outsourcing is best for saving substantial cost when hiring a team for the project.
Time factor: On average, the time required to hire a talented in-house team is four times that of the time it takes to hire an outsource team.
Risk factor: In-house team requires consistent handling of issues related to the project running, but outsourcing this work can relieve significant amount of risk involved while carrying out the project.
Efficiency factor: Outsourcing team members are much motivated because they get opportunity to work at an international level. This in turn, enhances the focus of company management to its core functionalities. In-house team may put extra bit of work pressure and keep focus diverted from the core functions of the company’s management.
Availability & Promptness: Outsource team can start work straight away, while in-house team may require a lot of challenges while initiating on the project.
Level of motivation: In-house team members need consistent training to keep their motivation up. While, outsourcing team members don’t need as much extra motivation to perform better..