5 Ways In Which AI Impacts IT Outsourcing

  • Software Outsourcing

12 August 2023


We’ve come to an understanding with AI: Even though we are lured by its promise, many of us still want it to stay in its own lane. The reason behind this is simple, many fear that the onset of more AI-driven capabilities will inevitably lead to a loss of human capital. Indeed, many industries have already observed the value of cutting jobs in favor of artificial replacements. But this view ignores the other side of the proverbial coin. What if we could instead pivot AI towards a full-on integration with our workforce… Namely, IT outsourcing?

We understand the seeming confusion at this notion: dedicated software outsourcing teams don’t seem to be in sync with a tool specifically designed to maximize productivity while eliminating the need for human capital. In essence, it seems almost the result of a cold equation oriented only toward results. But, in essence, AI is just another tool. The only way to get the best results out of this tool is to learn how to use it.

As such, we’ve decided to compile a small list of various ways in which we can revolutionize the way in which we handle AI. There are at least five ways to take advantage of this emerging technology:

Intelligent Automation

The flood of artificial intelligence into the Tech market will inevitably lead to a tremendous demand for Intelligent Processes. Reaching Time-To-Market goals has always been a common preoccupation for many companies facing a product launch. IT Outsourcing has the benefit of being expertly positioned to address this common problem, which leads to the rise of AI-driven solutions. Whether it’s related to an MVP or a project-wide emergency, there’s undoubtedly more pressure than before to be able to respond quickly and effectively to these types of situations.

An AI-pivoted product strategy can begin to address these issues by using machine learning to optimize outsourcing processes. However, not every company will be able to use machine learning to its full potential. AI lacks context to make certain decisions, needing an external factor that can allow it to learn or to at least aim it in the right direction: a team of professionals working alongside an AI could be a powerful combination that could speed up every outsourcing venture by tenfold.

Enhanced Processing with AI

With more responsibilities at the feet of AI, IT Outsourcing has now the responsibility to step up its game, as this gives customers a lot more flexibility when it comes to choosing the right outsourcing partner: Why go for sub-par partners when they could buy the license to a particular AI tool help them reduce operational costs?

The answer, of course, lies in the way in which teams work together. The Tech race keeps going, and this time the championship will go to the teams that can demonstrate they have better working ethics and a deeper understanding of a client’s intricate needs. Not every licensed tech is suited to handle every complex task, but a small team of professionals that know how to handle that same AI can lead to better, more agile and efficient processes.

Lower Operational Costs

On the same line of thought, lowered operational costs are inherent in teams that know how to handle the oncoming AI trends. By hiring a development team that understands which processes need to be automated and which of these need a more precise approach, Industry Leaders can significantly reduce operational costs.

Teams that are specialized in adjusting themselves to a client’s vision, while at the same time offering lower rates than an AI licensing agreement will be successful when it comes to having a competitive edge.

Privacy Concerns

One of our foremost pieces of advice to people jumping into the outsourcing world is to take a clear look at how they handle their IP: You need to properly set up your NDAs and relevant contracts in order to ensure you have full ownership over your technology. This is about to become way more complicated from now on.

Given that AI is an impersonal tool, many companies will likely offer licenses without the due paperwork required to do so. Who’s going to own a piece of technology? Your company, or the company you contracted to lend you the tools? Understandably so, this new generation of entrepreneurs will need to be on the lookout for these telltale signs that they may not be getting the most beneficial agreement…

Flexibility with AI

…Which is where our Outsourcing competitive edge comes in again. Software Outsourcing companies that know which terms to negotiate – be they budget costs, IPs, or time zones – will most likely be at the front of the line when these situations become commonplace.

After all, Outsourcing isn’t just about doing the work, but setting up the proper goalposts. By handling production costs, setting up privacy terms, and offering the best personnel in the region, it’s likely that many IT Outsourcing companies will still find a way to draw in a lot of potential customers – both by taking advantage of AI and understanding its blind spots.

If you have any further questions about the current trends flooding the Tech Market, be sure to contact us. Understanding the ways in which technology evolves is one of our top priorities – as well as helping you achieve your business goals.

  • AI
  • Software Outsourcing
  • it outsourcing

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