IT Sourcing Europe , a UK-based nearshore IT outsourcing (ITO) research and advisory company, has recently closed its Dutch IT Outsourcing and In-House Software Development survey 2010 aimed at comparing and contrasting the behaviors among the two types of the Dutch companies – those that outsource their software development and those that develop their IT solutions within own house. The survey was completed by 167 outsourcing and 289 non-outsourcing companies representing all of the major verticals such as software/web development, banking and finance, hospitality, telecommunications etc.
According to the survey findings, unlike the Dutch outsourcing companies who mainly outsource to reduce operating costs and speed up time to market, the non-outsourcers mentioned different factors likely to drive their decisions to transfer software development to a 3d party in the future. Namely, 31% of the surveyed companies admitted the likelihood to outsource software/web development, if they can’t find appropriate IT resources/specific skills within the Netherlands; 21% of companies said they would outsource if they need faster time to market via flexibility and scalability; 17% will outsource if they have to free in-house resources for more critical business needs; 14% will outsource to leverage operating costs, 10% will outsource if their revenues fall dramatically and they need to cut IT budgets; and 6% – if they decide to launch 24/7 operations. Only 1% of Dutch companies said unambiguously they would never ever outsource their software development function.
More findings are presented in the Dutch ITO and In-House Software Development Intelligence Report 2010.