People would have never imagined that a virus can ever hamper their way to earn bread and butter. Tragically, the COVID-19 – a deadly virus is still here across the globe, showing off no way to have an immediate recovery in the near future. Certainly, the invention of its cure will blow a horn to bounce back and have speedy recovery.
The ‘2020 Global Managed Services Report’, unfolded that 1,250 executives in 29 countries including India and 45% organization are likely to exceed outsourcing over insourcing in the next 18 months. However, there is going to have 57% security risk, which must be managed by the in-house IT teams.
The demand for the cloud infrastructure outsourcing with service providers is set to rise up in 18 months to 77%. Adding to it, there would have a new product development for the IT decision-making & risk assessment will be up in the next 12 months.
Right now, the outsourcing is greatly impacted because of its widespread. Here is the round up of the main challenges and silver lining to get off it:
Challenges In Outsourcing
Travel is worldwide banned. Offices are rarely opened. The governments are grinding hard to bring off-the-track SMEs in the developing countries through lucrative schemes and loan facility. In India, the union government has announced to aide with 20 lakh crore rupees to small scale industrialists. But, they do not have a guarantee to pay it back since expert economists do not have any idea about how long this contagious virus will keep infecting.
In short, the virtual assistant companies are to in a condition to avail IT infrastructure to all employees who are working from home. Neither do they have intelligent & smart data management tools to access and transfer the work securely.
However, there are many outsourcing partners from the overseas that have put the project on hold temporarily. They are waiting for the crisis to get over. In the meantime, the outsourcing data solutions providing companies are not able to credit salaries, which will eventually result in upping in the attrition rate. For sure, employment rate is also spiking up with the pace all across the world.
Need to Digitise
A few digitally-equip companies in the developing and developed Europe or Asia or other parts of the world have been successfully facing off challenges via work from home contingency plan. This critical lockdown condition has caused no harm them at all, as these are open up towards digitization and automation of the workflow.
Now, the trade world is on the line where it has to digitise pillar to post processes in the future. So, we are going to see the digitized trade world in the future, especially the outsourcing businesses in almost all countries.
The telecommunication network if likely to be more robust and regulation compliant with relentless connectivity and outspeed. The digitally strong corporate network owners have started looking for some transparent business solutions and deliveries so that they can have the best of the world’s outcome.
Propensity to Recover
For sure, the European companies are going to be the foremost ones who can expect the quickest recovery once this viral infection will be over in the North & West Europe. Even, the digitally transformed Asian outsourcing companies can also be one of them. This is just for being an IT-enabled efficacy in the work environment. The fourth quarter of 2020 may start showing off some signs of recovery. Many projects will resume coming back on the track.
However, it’s a big challenge to beat it up. The crisis is massive. But once, it gets passed, the outsourcing business will boom, touching heights once again. But, we need to work a lot in the field of data security, cloud services, AI and digital transformation.