IT Outsourcing Draws Interest From Utility Companies
Suppliers of electricity, gas and water are reportedly spending more on IT and technology than the national average.
Jun 09, 2006
New research from Computer Weekly indicates that this is being led by the rising popularity of IT outsourcing, with large businesses and SMEs alike benefiting from the service.
Large utility companies are said to spend £10,296 per desktop each year on technology, which compares to a UK-wide business average of £8,455. Smaller utility firms, meanwhile, are spending £3,551 per desktop, which compares to an average of £3,132 for SMEs as a whole.
The report argues that billing and payment processing is a core IT function for utility companies and very few now keep this in-house.
While it is claimed that many are turning to offshore outsourcing to drive growth and reduce costs, businesses in the UK are increasingly choosing onshore outsourcing providers, with IT support in London now particularly well-advanced.
Cost effectiveness is one of the most important factors behind the rise of IT outsourcing in the UK, but business leaders are also outsourcing their IT services in an attempt to place a greater emphasis on key business strategies.
Large utility companies are said to spend £10,296 per desktop each year on technology, which compares to a UK-wide business average of £8,455. Smaller utility firms, meanwhile, are spending £3,551 per desktop, which compares to an average of £3,132 for SMEs as a whole.
The report argues that billing and payment processing is a core IT function for utility companies and very few now keep this in-house.
While it is claimed that many are turning to offshore outsourcing to drive growth and reduce costs, businesses in the UK are increasingly choosing onshore outsourcing providers, with IT support in London now particularly well-advanced.
Cost effectiveness is one of the most important factors behind the rise of IT outsourcing in the UK, but business leaders are also outsourcing their IT services in an attempt to place a greater emphasis on key business strategies.