The Pendulum of IT Outsourcing Swinging Back as Companies Hire Their Own

The Pendulum of IT Outsourcing Swinging Back as Companies Hire Their Own

For some time now companies have been enamored with outsourcing their IT staff needs to supposedly safe lots of money and improve their bottom lines, however, that seems to be changing according to an interesting post by Sean Gallagher at Ars Technica.

This swing back to in-house IT staff isn’t just happening with tech oriented companies either as healthcare companies and retail giants like Best Buy have taken a second look at the whole idea of outsourcing their IT needs. This swing back to in-house staff is being lead by the company’s newly hired CIO Jody Davis who said that the company is now hiring IT talent as Best Buy employees and take control of their own destiny.

Even high-tech recruiting firms are seeing a shift much as Scott Gordon, a partner at Vaco LLC, noted when he said that even among his clients there is a lot less discussion about outsourcing and more about focusing on internal staff only.

Additionally IT research company Spiceworks has said that 31% of SMBs are planning to add to their IT staff this year but for small companies finding local talent is hard, and expensive. It has, according to Gordon, led to foreign outsourcers sending his company candidates for full-time positions in the US.

This is definitely a huge shift in thinking as compared to even a few years ago when it was all about getting rid of as many local workers as possible and outsourcing as much as possible in order to lower costs.

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