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Almost Two Thirds of Companies Have Off-Shored Their IT Function in the Last Six Months
added: 2009-07-21

Almost two thirds (64 percent) of companies have off-shored a portion of their IT function in the last six months, according to the latest piece of research from The IT Job Board.

And 34 percent of the IT professionals surveyed stated that more than half (51 percent) of their IT department had already been off-shored; 79 percent said to India.

When asked whether their companies were planning to off-shore in the next six months, exactly half (50 percent) said they believed they would be. And, 75 percent thought the work would go to India.

In terms of the roles being affected, 79 percent thought software developer jobs were being outsourced overseas, 71 percent stated programmer roles, and 67 percent advised IT support jobs are being impacted.

40 percent believed that the main issue with off-shoring is a lack of business knowledge. And, 83 percent stated that it is having a negative impact on the quality of their IT. 76 percent also felt that it presented no long-term benefit to the economy.

Teresa Sperti, head of international marketing at The IT Job Board, said: "Off-shoring is becoming an increasingly popular phenomenon, particularly as companies look to reduce cost during these difficult economic times.

"The UK is in the midst of a skills crisis, which is currently being undermined by the recession. If we are going to combat the long-term issues associated with IT skills, then businesses should be looking to train and utilise local talent, rather than off-shoring their IT activities. Companies also need to weigh up the cost benefit with the trade off in quality, before making the decision to off-shore."


Source: PR Newswire

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