Outsourcing might not result in an immediate cost savings but the benefits outweigh any concerns. What that means is firms have to first concentrate on the transition - there's going to be process reengineering, people issues and the technology component as well. Clearly, though, the bottom-line cost savings make any investments worthwhile.

• Reduce operating and capital costs dramatically.
• Seek proficient resources unavailable in-house.
• Gain direct access to world-class software professional skills.
• Put projects on a fast track to completion otherwise not possible due to internal technical or staff limitations.
• Leverage the time zone differences, and reap the benefits of round-the-clock support.
• Enjoy adequate quality expertise on call for a large variety of systems and software requirements.
• Leverage scope for hiring out higher volumes of work on your discretion.
• Spread the risks involved in development.
• Release non-capital resources for core competencies.