IT outsourcing leads to drop in full-time personnel spending

Only a third of IT leaders plan to increase the amount they spend on full-time, in-house workers, a new report has indicated.

A study conducted by CIO Magazine indicated that the advent of IT outsourcing is enabling companies to reduce their headcounts.

Some 41 per cent of companies say cloud computing has allowed them to reduce personnel costs over recent months.

Overall signs are positive for the IT sector, with 48 per cent of business leaders surveyed saying their organisations have stabilised and are now returning to growth.

Some 35 per cent intend to increase IT capital spending over the next six months, while 29 per cent plan to raise their IT project budgets.

Writing for, business commentator Rick Haglund recently claimed that IT outsourcing is now a successful business model in its own right.

Source: ihotdesk

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