The Impact of Coronavirus on the IT Outsourcing Industry and How to Handle It

The coronavirus has already affected the global economy and the broader market and companies and service industries are facing some challenges as travel is restricted. Both the domestic and international businesses across the globe have switched to working from remote locations with video conferencing and other collaboration tools.

Since India is a top IT outsourcing hub, it is also facing some of the serious consequences of the pandemic. The growth has reduced and many companies have cancelled new projects and employers too have to adjust their sales and bonus targets in some situations and create fresh strategies to handle the current scenario. Though IT companies from small and medium enterprises are worst hit in India, but here are how the challenges can be addressed and the performance of the organization maintained:

Dealing With Reduced Productivity and Performance:

It is true that the virus has affected the productivity of the outsourcing companies in India, but organizations need to take proper steps to handle the unforeseen circumstances. Outsourcing service providers should invest in technologies that will help to manage work from home and use the remote working facility to keep up with the performance. Proper connectivity, speed, security and coordination will help the staffs to work from remote locations and deliver the projects on time without delay. But all these needs efficient management.

Also Read: Why Marketing Agencies Should Consider Outsourcing as a Good Option

Alternative Sourcing Strategies:

As we can already see the impact of the companies across various industries are inevitable, it is important to keep working by identifying alternative sourcing strategies. Though it will not be an easy task to do, but finding some extra help can ensure proper functioning of the organization. Since the possibility of this lockdown situation can prolong, it is better to think for long term benefits and hire some companies that can offer added resource to complete the projects.

Offer Training with Modern Digital Skills and Tools:

Outsourcing service providers in India are also investing more on remote collaboration tools and many companies are adopting Zoom, Skype and other collaborative tools like SharePoint to work remotely.  Companies should try to implement new tools and offer proper training to the staff to establish new skills, and slowly shift the culture digitally to prepare for a future beyond the coronavirus and the disruption it has caused.