Small enterprises risk spending an incremental 75 percent on outsourced IT functions versus keeping them in house if outsourcing is not managed properly, a recent impact research study from Info-Tech Research Group reveals.

Effective vendor management can be challenging for small companies that outsource. Despite the inherent challenges, small enterprises tend to outsource more of their IT functions than larger organizations in an effort to keep pace with growth and demand for a full breadth of IT services. Where small enterprises do have success in outsourcing is most often with infrastructure and application support, where fluctuating levels of manpower and expertise are needed to support IT projects.

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