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CIO-Driven Outsourcing Brings Opportunity for IT Providers

CIO-Driven Outsourcing Brings Opportunity for IT Providers

September 28, 2016 by Robert Hayes

Outsourcing means opportunity for IT providers.As CIOs look towards outsourcing as a way to gain crucial skill sets and services, IT solution providers have a golden opportunity to step up to the plate and offer their portfolio of solutions and services.

Identifying In-Demand Skills
Of the 3,352 global CIOs and technology leaders polled in a recent Harvey Nash and KPMG survey, 65% believed a shortage of talent would cause their organizations to lag behind the pace of change. Surprisingly, this figure is up by 10% within the last 12 months.

According to CIOs in the survey, data analytics is the most sought-after skill among organizations, followed by project management and business analysis. Digital and security are also becoming highly valued, with skill demand for the former increasing by 21% and the latter by 17% compared to last year.

How CIOs See Outsourcing

More CIOs are seeing outsourcing as both a way to acquire skills and talent not found in-house, and as a measure that brings a significant level of cost effectiveness to the bottom line. According to the survey, 50% of CIOs noted that they would increase their investments in outsourcing, while 44% said they would increase their offshoring activity. Flexible and contingent contracts are also becoming popular with CIOs, with 12% sourcing over half of their staff through these means.

CIOs are also seeing outsourcing as a way to free up resources, allowing them to bring their focus back to the core of their businesses. According to the survey, 51% of CIOs share this view. Meanwhile, CEOs are becoming more interested in utilizing IT not as an expense, but as a cost saver and profit generator. Over 63% of CIOs noted that their CEOs placed importance on revenue-generating IT projects.

An Open Door for IT Solution Providers

Throughout 2016, CIOs are making strides to increase their investments in the major cloud service platforms, including “As a Service” solutions such as SaaS. According to the survey, 31% of CIOs are planning significant investments in SaaS, with 25% and 20% doing likewise for IaaS and PaaS, respectively.

This increasing level of investment is opening the door for IT solution providers in search of new opportunities and new clientele. Contact us at eXemplify to learn how we can help your organization create a game plan for success.

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Filed Under: CIOs, IT Tagged With: as a Service, CIO, data analytics, IT, IT solution providers, outsourcing

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