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Coming next: Offshoring of IT infrastructure management?
July 23, 2004
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CIO’s should recognise that Indian IT remote management capabilities have matured sufficiently to offer high quality services for managing IT infrastructure at reduced cost – and that this is now a realistic option for small and medium sized businesses

Cambridge, UK.  -- Until now, full outsourcing – where a 3rd party takes over and possibly acquires the IT infrastructure of a company - has been considered to be the only real option for reducing IT infrastructure management costs. But technology advances and improvements in networking costs and speeds are such that seamless remote management from low cost locations is now a practical possibility.

For medium-sized enterprises in particular, this is an exciting opportunity. In the past, full outsourcing by smaller companies to a big player was unattractive. But now the opportunity exists for these businesses to benefit from services delivered from places like India through new and nimble partners such as Optimacy Solutions. These offer even greater cost savings and service-level improvements than those claimed for large outsourcing deals with big players.

But can India today offer the IT infrastructure management capabilities of the big players to smaller customers?

“We have inspected and assessed many Network Operations Centres in India, “ says Optimacy’s CEO, Radha Mocherla. “I am most impressed with the way local capabilities have been developing in the last few years. We saw the same thing happen in Application outsourcing. Western companies were initially concerned about managing offshore software development projects, but Indian suppliers grew in their abilities and many companies today don’t think twice about this aspect of Offshoring.”

Whilst companies have balked at totally outsourcing their IT to a major player, selectively out-tasking the management of IT infrastructure is now a very real option both to save money and, perhaps more importantly, to gain access to both top quality skills and the latest systems management technologies.

“But there are real risks in Outsourcing let alone Offshoring and not every company has the capabilities or the resources to manage this process” says Edward Ben-Nathan, Optimacy’s Director for Enterprise Markets. “Our aim is to minimize these risks for our customers by working with a range of hand-picked Indian suppliers to seamlessly provide an integrated offering. To do this yourself you would need strong services engineering, project management, vendor management skills and, of course, the ability to overcome the cultural differences.”

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