So what does ‘lower costs due to economies of scale’ mean in outsourcing?

Always written up as one of the selling points for outsourcing of IT.  But what are some examples?

Some which come to mind:

Providing an ITIL standard support desk – with established policies, procedures, logging, portal access, reporting.  An ITIL certified vendor brings this to the table and manages all support calls through a structured process.

Providing out of hours support – potentially this may not be affordable within the internal organisation – but the vendor, already providing 24*& support to toher clients, may be able to provide this at a very competitive price.

Purchasing/ renting equipment – may be able to leverage greater buying power of the vendor.

 

 

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