Navigating IT Outsourcing: Understanding the Essence of the Problem Statement

When I work in the IT domain, I often come across some popular terms. I’m familiar with terms like outsourcing, problem statements, third-party companies, developers, and cybersecurity, to name a few. They’re crucial for me as they give insight into how a company operates and what roles its employees play.

I’ve noticed that outsourcing/offshoring has become a popular solution for many companies, including mine when we decide to delegate various tasks and services to external service providers.

Outsourcing can be done with small niche providers or multinational companies. It comes with many benefits, such as cost efficiency, access to expertise, scalability, and faster implementation. At the same time, organizations can access a pool of global experts and talents they can work with. And who can add more value to their business. But, understanding the essence of the problem statement in IT outsourcing might be the key to fruitful and successful collaborations. What are the benefits of IT outsourcing? What is a problem statement? Why is it so essential to understand it correctly? Let’s find out the answers to all these questions together. 

About IT Outsourcing 

IT outsourcing has become a pretty popular solution for many companies in the last couple of years. As it comes with many benefits, it became a subject of interest for many college students too. Outsourcing, as highlighted above, means that companies decide to use the services used by other companies to complete their tasks or enrich the services they offer.

For example, some might decide to transfer the management of a specific app or service they are developing to a third-party company. They can externalize the management of the IT infrastructure. They can outsource software management or customization of the applications. They can engage external experts to enhance the organization’s security online. 

No matter the reasons why a company decides to outsource some of its services, it is essential to know what a problem statement is and what you need to solve it. This is something computer science students study and learn while they are in college. They might even have a problem statement paper to write, so they can use books or experts that offer their help for students. Writing these papers offer students the opportunity to learn more about the reality of the IT domain and how companies work. 

What Is a Problem Statement?

To understand the essence of a problem statement as an outsourcing company or employee who works at a company like this. It comes with certain specifics that can help an outsourcing company deal with the issues they have to solve. And it should definitely include specific elements. 

Description of the Problem 

A problem statement is a clear and concise statement that clearly describes the nature of the issue. It can be a technical glitch you or the company you hired might have to identify and eliminate. It might be about the inefficiencies of the app. It might be about security vulnerabilities, the performance of a specific service or app, or other IT-related things. The more well-defined a problem is, the easier it will be to solve it. 

Scope 

Another thing that should be part of a problem statement is the scope of the issue. Which are the boundaries of the problem? Which is the extent of the issue? What is the impact the issue has and on what? Are some areas that are affected indirectly?

Impact 

The problem statement should describe the impact the issue has on what areas and if the impact is direct or indirect. Are there any long-term repercussions? The more details you offer about the impact of the issue, the easier it will be for the stakeholders to understand the urgency of the problem. Which is in your own interest, as you want it solved as fast as possible. 

Context

Besides the description of the problem, the scope, and its impact, the context of the issue is essential too. It offers the stakeholders a holistic perspective on the issue. Maybe the system architecture is essential for solving it. Or maybe that’s where the problem was triggered from. Maybe the software components have an impact too. Or maybe the hardware infrastructure is crucial too and changing some components would solve the issue. Or it might be about recent changes or updates that were not synced with the product and have created glitches or bugs. 

Goals and Objectives 

As the one who defines the problem statement in the context of outsourcing services, you need to set some goals and objectives too. Of course, the main goal would be to solve the issue. But thinking about the desired outcome is essential too. Stating it helps both you and the outsourcing company and your stakeholders. You want an improved functionality of the product. You want a higher degree of security. You want to restore functionality. This will help you measure progress toward the goal, but also the stakeholders decide on the approach they want to take. 

Constraints 

However, when trying to solve a tech issue, there are always some constraints you have to consider. And maybe one of the most common constraints is of the budget. If the budget is limited, then the stakeholders should know. This will have an impact on the number of people working in the team and for how long. The same goes for any deadlines and time limits. And are there any other technological limitations as well? 

Measurable Criteria

As long as you clearly state the criteria you will measure success on, everything will be clear both to you and your stakeholders. This will make solving the issue easier and assess the success of the solution more efficiently. It might be about performance metrics or just about user satisfaction levels. It really depends on the issue at hand. But making the problem statement as detailed as possible will certainly contribute to a fruitful collaboration in the IT outsourcing field. 

The Benefits of Outsourcing 

There are many IT company CEOs that think that everything has to be solved in-house. However, accepting that your own company might not have all the resources to solve the issues at this very moment comes with benefits. As it does outsourcing. Choosing to collaborate with other companies and experts on specific issues helps you save costs. 

How? You reduce the need for in-house infrastructure and personnel. You can also tap into the skills and expertise many specialists out there have. Like this, you do not need to train them internally, which requires both time and money. Thus, you can focus on your primary business objectives. And solutions to your issues can be implemented faster. 

Final Thoughts 

IT outsourcing has become a pretty popular solution when an organization or company has some IT problems. There are IT companies that outsource some services to other companies. But there are also NGOs or business companies who have IT issues that need to be solved rapidly. 

No matter the nature of the collaboration, understanding the essence of the problem statement is crucial. The more detailed the problem statement is, the easier it will be for outsourcing companies to solve it. And, of course, tap into the knowledge and expertise needed for meeting the goals and measurable criteria.