As organizations have scrambled to assess and adjust to the unfolding economic impact of the COVID-19 pandemic, IT leaders are taking a closer look at their sourcing strategies — in some cases, with an eye toward insourcing.
Repatriating previously farmed out work has increased in the recent past — particularly for IT services — for a number of reasons, says Vivek Bhatia, practice director at Everest Group. Among them: a desire for tighter integration and alignment with the business, greater cross-functional collaboration to improve speed to market or accelerate digital transformation, better control and governance of services, minimization of operational or regulatory risk, or increasing in-house capabilities for core or IP-intensive work.
