Data-center and data-network operations are the two most frequently outsourced IT activities, according to a recent report compiled by research and consulting firm Computer Economics. The firm polled IT managers in more than 200 companies in the U.S. and Canada.
“Today, IT outsourcing is taking on many new and varied forms as technology continues to evolve,” the report states. “Nearly every IT function can be outsourced to third-party service providers, from application development to IT management.”
Of the 11 different IT services it explored, both “data center operations” and “data network operations” topped the list for being outsourced, both at 28 percent of the firms queried.
Data center operations are defined in the report as outsourcing “where data centers are managed and operated by an outside service provider. This includes data centers where facilities or computer hardware are owned by the customer, as well as cases where data centers or computer equipment are owned by the service provider.”
Data network operations are “where a service provider is responsible for all or part of data network operations, network monitoring, or contract services to install, repair, or maintain data network equipment, software, or circuits.”
Application maintenance and website/e-commerce systems were the next most outsourced services at 27 percent each, while IT security was least popular at 19 percent.
“IT organizations are experiencing the most cost overruns with application development, website/e-commerce systems, and data network operations outsourcing contracts,” the firm found. “They have the easiest time predicting costs for IT security, voice network operations, and data center operations outsourcing contracts.”
To obtain a copy of the Computer Economics report, click here.