What is the difference between IT Consulting and IT Outsourcing? (Simple definition with examples)

In the IT world, there are many technical names and slang that can confuse an ordinary person and even an experienced specialist. The confusion occurs because there are different interpretations of the same concept. In this article, we will give you simple explanations about the concepts as IT consulting and IT outsourcing and their difference.

What is the difference between IT Consulting and IT Outsourcing

 

What is IT consulting means?

 

Information technology (IT Consulting) is one of the many areas of business consulting. Project-oriented activities related to the information support of business processes, allow giving an independent expert assessment of the effectiveness of the use of information technology. IT consulting is one of the services offered by IT companies or independent specialists.

 

What does IT consulting include?

 

  1. Consultations about the introduction of IT technologies in business or about the creation of an IT product.
  2. Optimization of costs allocated for the implementation of information technology, IT solutions within the company.
  3. Improving Efficiency or automatization the company’s business processes
  4. Implementation of enterprise level systems (ERP, CRM, Business Intelligence, Groupware systems, NIS systems)
  5. IT audit (assessment of the level of automation).

Almost all consulting firms will offer you development services. These can be either their in-house developers or partners companies.

 

Interaction example

 

You understand that you need IT services for the development, optimization, modernization of a product or a company. But you don’t know exactly how to start or organize development. In these cases, you should choose IT consulting services.

 

What is IT Outsourcing means?

 

Information technology outsourcing (IT outsourcing) is the partial or complete transfer of support, maintenance and modernization of the IT infrastructure of a company to a vendor. The outsourcing companies’ staff includes specialists from different areas of information technology. Depending on the amount of work on your project, you can hire either a remote development team or only those experts who are needed to complete the tasks.

 

What does IT Outsourcing include?

 

  • Front-end, back-end, full stack developers,
  • DevOps engineers,
  • Web/UI/UX designers,
  • Project managers,
  • Business analysts,
  • Marketers,
  • Content makers and etc.

It is important to understand that some companies may not have any of the above-listed specialists. It all depends on the business direction of the outsourcing company. Also, the difference may lie in the programming languages in which the company’s developers specialize.

 

Interaction example

 

You have already made a clear development plan and you know which IT specialists you need. Such as you’ve created a Request for Proposals (RFP) for the project development. And now you need a web design and some developers, in your opinion. In this case, you should choose an outsourcing IT company.

 

What should I choose between IT Consulting and IT Outsourcing?

 

  1. You should look for an IT outsourcing company if you need specific services: write code, create a site redesign, set up an advertising campaign on Facebook or something like that.
  2. You should look for an IT consulting company if you need to develop a new software product, modify an existing system, automate your business processes, consult on IT security, conduct a refresher course for your employees.

 

Conclusion

 

The difference between IT Consulting and IT Outsourcing is in the approach. Consulting firms provide complex solutions for your tasks. As for outsourcing firms, they provide specific services and can even lease their employees (outstaff).

 

We recommend that you also read the article β€œHow to choose a software company”. Want more information about IT Outsourcing and IT Consulting? Follow this Link.

 

If you need to get IT consulting just write us on office@syntech.software.

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