What are the IT Outsourcing Trends that Will Rule in 2020

Outsourcing is now a new norm.  Various organizations outsourced IT services for many reasons, such as, to increase operational flexibility, reduce the cost for specific skill sets, etc.

If we talk about the last year 2019, the global IT outsourcing market amounted to USD 92.5 billion. The outsourcing market has started penetrating new industries, therefore, the market continues to grow at an unbelievable rate.

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The future of IT outsourcing is full of multiple opportunities, therefore, companies have started implementing new technologies to engage organizations by optimizing their internal process.

In this post, we will discuss on the top 5 IT outsourcing trends that will rule in 2020. But before that let us find the correct way to outsource the right IT company.


How to get IT Outsourcing Right this year?

Outsourcing partners should be aware of the latest trends while delivering exceptional results.

It is very important to have a good outsourcing partner, no matter what is the end goal. As outsourcing is the foundation of a partnership between two parties, so, both parties should contribute equally by making the relationship a mutual benefit.


The Top Outsourcing Trends That Will Shape 2020


Let’s take a look at the IT Outsourcing Trends that will rule in 2020.


Artificial Intelligence or AI:

AI is taking over the world and outsourcing in next. AI is playing a vital role in almost every industry. AI is increasingly being used to automate various functions including, accounts payable processing, invoice management and in many other. The use of AI-based applications in business processes is increasing day by day, and this will revolutionize the outsourcing industry in the coming years.


Robotic Process Automation:

Robotic Process Automation refers to specialized computer programs that automate repetitive tasks such as data entry or mining for higher accuracy and reduced cost. To create a successful digital solution for outsourcing, you need to use AI and Machine Learning with the right human intervention. The best approach to implementing robotic process automation is to analyze the existing business process and to create an optimized solution by removing errors.


Cloud-Based Management Platforms:

Cloud computing is one of the prominent upcoming business processes outsourcing trend that will replace the traditional way of doing things. Cloud computing is continuously digitizing businesses across the world. According to research, the cloud services market is expected to expand by 17% by the end of 2020, which is to $266.4 billion from $227.8 billion in 2019. Cloud is basically an interconnected network of internet servers that used to store and process data in the virtual space.

Tailored Business Process Outsourcing:

In today`s modern time, people are tired of generic products and services. Every business organization is demanding a tailored solution for their businesses to streamline their operations. People should not be surprised that customized solutions are one of the major business processes of outsourcing trends in 2020. It is simple logic if businesses are different then how come their needs be the same. By applying the same set of solution to every business, it fails to deliver effective business solutions.

Quality-Oriented Business Process Outsourcing:

At an initial stage, outsourcing trends may seem a little confusing but, its main purpose of is to reduce costs and cost of employment. Organizations are looking for a higher quality of work that is delivered to them on time with higher efficiency and greater accuracy. As we proceed further in 2020 companies are favoring high-quality outsourcing services over cheaper, low-quality services.


 Outsourcing Market in The Year 2020


According to a report by Statista, the market size of Information and Technology outsourcing is calculated at USD 66.52 billion. This amount is expected to skyrocket to $413.7 billion US. That’s interesting!

According to the National Outsourcing Association of India, 70% of businesses will incline towards outsourcing, and around 35% of companies are currently planning for the same at present.

From the stats mentioned above, it is quite clear that there is lots of future possibilities for IT outsourcing in the coming year.



Considering the above trends, the future of IT outsourcing looks very promising. The outsourcing industry will keep on growing by transforming its services to keep up with the ever-changing global market. In the present time of COVID-19 pandemic, when IT businesses have experienced a sudden jolt, in such situation IT outsourcing will be a boon that not only reduces the operational cost of businesses but also let companies survive in the current scenario. Companies will look for IT outsourcing partners that provide innovative solutions and the one who holds expertise in the required domain.

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