IT outsourcing could pose threat to UK business

By not retaining enough good quality in-house IT expertise, businesses are at risk.

They will no longer have the capability to design and run applications or IT systems themselves and will have no choice but to rely upon their offshore service providers. This would leave them in a very vulnerable position; suppliers could essentially charge what they wanted for applications and systems and they would lose their competitive edge because they would have to rely upon the same ‘off the shelf’ package as their competitors.

Offshoring is of course an issue of great debate during times when a poor job market and turbulent economy is prevalent, but companies must think about the long term. Protectionist policies should not automatically be adopted, we are after all in a global economy and the only way to overcome economic instability is by working together. However, businesses should not get carried away. If everyone offshored their IT in a bid to cut costs and take advantage of low level skill sets, they will quickly find themselves in deep water after the recession has blown over.

By nurturing and training a good quality in house IT team, businesses can be assured that they will remain competitive once the economy picks up. In addition, the UK can be safe in the knowledge that a quality stream of IT specialists are ready to lead the next generation of IT leveraged businesses.

Failure to do so could have serious consequences for the future of the UK IT market.