10 Types of IT Projects You Can Outsource

In today’s world, the term “outsourcing” is used quite often when talking about companies, especially startups. A company can either have its own in-house IT team in house or outsource IT services to a third-party, which handles all of a company’s needs. As time progresses and more startups emerge, outsourcing IT services has become a norm, and for good reason. By outsourcing, a company can effectively manage all its IT needs without incurring excessive costs on in-house infrastructure and talent. Today’s fast-paced business dynamics mean companies, especially newer ones, can’t afford to fall behind in any aspect. Building and maintaining effective internal IT teams sounds good in theory, but it is very expensive and often unrealistic.

IT project outsourcing is a practical solution for companies of all types and sizes. Whether you’re a newly formed startup looking for an affordable development team, a medium-sized company wanting to upgrade systems without disrupting daily operations, or an enterprise aiming to scale faster, outsourcing is a pragmatic and affordable avenue for all. Outsourcing offers a lot of benefits, including access to untapped global talent and niche expertise at just a fraction of the cost and time compared to doing everything in-house.

There are many examples of successful and reputable companies that had to resort to outsourcing in their early days. Slack, WhatsApp, and Alibaba all have stories of outsourcing parts of their IT projects to save on costs and speed up their launches. From why businesses should consider outsourcing, what IT project outsourcing really means, and the 12 types of IT projects you can outsource to trusted partners, this article will discuss a wide array of topics and answer your questions.

What is IT project outsourcing?

IT project outsourcing, a term you might be familiar with, refers to the practice of hiring professionals or a team of professionals from outside your company to handle any tech-related projects, instead of relying solely on internal teams. These projects vary and range from software development and cloud computing to cybersecurity and artificial intelligence gigs.

Outsourcing is beneficial because, instead of having to hire full-time staff for every possible need, companies can outsource IT projects to professionals with the desired skill set. This not only helps by saving on costs, but there’s no onboarding process, and rather, the hired experts start work straightaway. This approach helps businesses fulfil their IT needs faster and at a lower cost.

Why businesses should outsource IT projects?

Outsourcing isn’t about merely saving costs; companies that outsource are more agile and gain a competitive edge. Furthermore, hiring external IT professionals allows internal teams to focus on core operations. Here are some key reasons why businesses may choose to outsource IT projects:

First and foremost, one of the major reasons why businesses opt for outsourcing is that it’s very cost-efficient. Outsourcing IT projects means there are no expenses related to hiring, training, and maintaining in-house teams.

Outsourcing gives you access to talented and skilled professionals from across the globe and at a fraction of the cost. You can find professionals of any niche, as well as specialists in emerging tech like AI and IoT, without having to build these specialties in-house from scratch.

No full-time hiring means you can always scale the external teams up and down depending on the type of project.

External experts are used to working in fast-paced environments and often work in agile models, helping businesses reduce their time to market.

10 types of IT projects you can outsource

Here are some of the most common IT-related projects that businesses choose to outsource: 

1. Software Development

Software development outsourcing remains one of the biggest and in-demand services. Companies outsource the development of software like CRMs, ERPs, and custom-tailored company applications.

There is a very big talent pool of skilled developers from across the world who offer services at lower costs but with the same quality. Access to experienced developers across multiple tech stacks and their agile working methods are among the reasons why companies choose to outsource the development of their software.

2. Mobile App Development

With the rise of smartphones and global digitalization, even the smallest businesses and organizations now have their own apps. Businesses, especially smaller ones, would prefer to outsource the development of their app to skilled developers.

Outsourcing opens you up to developers with years of experience in native app development and cross-platform app development, as well as UI/UX design expertise.

3. Web Design and Development

Along with apps, companies also choose to have websites and grow their digital presence. Outsourcing elements of web design and development is a common and secure practice. You get professional, responsive, and scalable solutions tailored to your specific needs and design ideas.

You can hire expert teams that bring their specific skillsets in CMS platforms and frameworks such as WordPress, Drupal, and Angular, Vue, respectively. These professionals are experienced and efficient in their work, ensuring a polished site on time.

4. Cloud Computing

As we head into a more digital age, businesses are moving towards storing their data on online, cloud-based storage rather than conventional physical servers and hardware. This allows anyone in the business to access data from anywhere in the world at any time.

Moving all your data to the cloud safely and encrypted can be a tough task, and that is why many businesses outsource cloud migration and management. Experts in cloud computing safely help migrate data on physical servers to AWS, Azure, Google Cloud, or any chosen cloud server. Furthermore, you can also set up hybrid or multi-cloud environments with the help of cloud computing experts.

5. Maintenance and Support

Companies, especially startups, often lack the resources or workforce to provide 24/7 support and constant maintenance. Outsourcing this part of operations helps companies ensure round-the-clock uptime without overloading internal teams.

External teams also cover application updates and patches, along with monitoring servers. Operational costs are significantly reduced by outsourcing Level 1 and Level 2 IT support.

6. Staff Augmentation

In certain businesses, there may be periods when the level of activity isn’t as high as at other times. Similarly, businesses want temporary staff for certain projects that require more hands-on deck. This is where staff augmentation comes in.

You get access to skilled developers and engineers any time you want, on any project on demand. This is efficient, as there’s no onboarding process, and work starts immediately with no time for settling in. Additionally, you have the choice to scale your workforce without hiring permanently.

7. Cybersecurity

As the digital age progresses and we get more and more innovative solutions and software, we’re also getting newer and stronger viruses. With these rising threats, cybersecurity is among the most outsourced IT services.

These specialized cybersecurity experts offer various checks and services, giving businesses peace of mind and protection against data breaches or attacks. There are various cybersecurity vendors, each with its own skill sets. However, some of the most common services offered by all cybersecurity companies include penetration testing, security audits, and setting up firewalls and other intrusion detection systems.

8. Internet of Things (IoT) Integration

IoT projects are generally related to integration, which includes smart devices, sensors, and data platforms. IoT is a very complex field to navigate, and you need experts to help manage the complexity of integrating hardware with software, which can be done with the help of outsourcing.

Examples of IoT projects include smart home applications that connect appliances and put them on a single platform to control and manage.

9. DevOps

DevOps outsourcing covers key areas, especially related to automation, like CI/CD pipeline setup, infrastructure automation, etc. Outsourcing in this area helps businesses achieve better harmony and collaboration between the development and operation teams, with the main focus on speeding up delivery.

10. Data Science and Analytics

Analytics in data have been used for decades now to help businesses understand their operations better and where and how they can be more efficient. Increasingly, organizations are driven by data-backed decisions.

You can outsource data services such as data engineering and warehousing, whose purpose is to turn raw data into information and then into valuable insights for decision makers. Big data is also used for predictive analytics and concluding trends over a certain period of time.

11. QA and Software Testing

Quality Assurance is a critical part of any operation, as it helps detect any bugs or issues that need to be addressed. Outsourcing QA and testing ensures unbiased and systematic testing methods across devices and environments.

Outsourcing partners offer services such as both manual and automated testing, performance testing, and functional and regression testing. An efficient QA team will help detect and then ultimately reduce any bugs in the final software before it’s launched.

12. Artificial Intelligence and Machine Learning

Since AI and Machine learning are both sophisticated fields that require experts with the proper know-how, related projects are often outsourced to skilled data scientists and engineers with proven track records.

AI and Machine Learning projects include AI chatbots, virtual assistants, and recommendation engines, as seen in Netflix or Amazon etc.

Pros and Cons of IT Project Outsourcing

As with any business proposal, there are certain pros and cons associated with outsourcing IT projects.

Pros

• Costs are lower than compared of in-house teams.
• Faster time to market.
• Access to a global talent pool.
• Scalability with ease.

Cons

• Communication challenges if the hired team is in a different time zone.
• Security risks.
• Dependency on external vendors (they may not deliver as expected).
• Varying quality depending on the chosen partner.

Outsource your IT projects with the right partner now

Outsourcing isn’t just about saving costs, but when leveraged effectively, it can help gain a competitive edge. By partnering up with the right vendor, you can access specialized skills, increase product launch, and focus on your core business operations.

Coding Crafts has successfully helped numerous businesses and startups with their unique IT projects. If you’re looking to outsource any IT projects, start with any of the 12 types of IT projects listed above. From mobile app development to cybersecurity and AI, outsourcing gives you a unique advantage in terms of both flexibility and expertise.

If your needs align with our offerings here at Coding Crafts, give us a call today and get a quote!