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Is Insourcing the New Trend in Information Technology?

Level 9

Insourcing is supposed to be the next big thing in the IT world. At least that’s what business guru type sites like,, and have been saying. And it looks like some companies may really be following this trend. A few months ago, General Motors shocked the business world when it announced that it was bringing most of its IT functions back in house. In fact, last month, GM announced that it was hiring 10,000 IT pros, as explained in the Computerworld article, GM to hire 10,000 IT pros as it 'insources' work.

Is your company following this trend to bring IT services back in house? Of course, your company may very well not be outsourcing its IT functions at all. According to the accounting and consulting firm BDO USA, LLP's recent study of 100 Fortune 500 CFOs, “Outsourcing in the U.S. technology industry has declined for the third straight year…This marks a notable shift from 2009 when nearly twice as many companies (62 percent) were outsourcing.”

Perhaps the biggest issue a company needs to look at when considering insourcing or outsourcing is which option best supports its goals. What does the company want to achieve? If a small startup has limited financial resources, outsourcing can provide immediate financial savings, so the company can invest more in R&D. A more proven company with an established department may prefer insourcing so it can have greater direct control over its IT functions.

In the network management arena, you might also want to ask yourself which option – insourcing or outsourcing – would improve your network’s quality and availability. If you need some help figuring out what’s right for your company’s network management functions, SolarWinds may have some answers. With SolarWinds Network Management software, you might have more robust, cost-effective network management options than you thought, including:

SolarWinds’ easy to install, easy to use, enterprise-ready software does not require an enterprise to operate it. This gives companies the ability to control costs without sacrificing functionality. In the past, one of the biggest reasons to outsource was to control costs. Signing a single check every year meant that you knew exactly what you were getting, cost-wise. However, with the recent gains in automation and software technologies, outsourcing may make less sense – financially or otherwise – than it used to.