IT outsourcing provides businesses with instant scalability and service flexibility, as well as reducing overhead costs, according to an expert.

Ross Taylor, marketing manager at Direct Response, explains that another advantage of IT outsourcing is that companies can get the best from new developments without the expense.

“[In terms of] new technologies, new processes and new ways of doing things, you don’t have to invest to do that in-house. Obviously the outsourcer is paying for that to be done and providing it to you,” he says.

Mr Taylor says IT outsourcing is also particularly beneficial for new businesses or those looking to expand their operation, who do not necessarily know what hardware or software they will need.

Third-party providers with more experience can advise companies about where to spend their money so that they do not waste time and resources, he asserts.

Recent research by Gartner found that more businesses are turning to outsourcing services, with the value of contracts standing at $42.2 billion (?28.5 billion) worldwide in 2008, compared to $29.5 billion the year before.