What Shouldn't You Outsource?

What Shouldn't You Outsource?

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The complexity of modern businesses and the pressure to deliver more for less have made it more complex than ever to handle everything in-house. Most businesses now outsource certain operations to focus on their core mission: serving customers.

In response, outsourced solutions and managed services have proliferated across nearly every business function. From marketing to HR to operations, decision-makers outsource specific tasks or entire functions. Some even outsource on-site operations, such as digital mailroom or print room services.                                                                                                                                                                                                                                                 

Outsourcing Trends and Statistics

Deloitte’s most recent (2024) Global Outsourcing Survey highlights the evolving reasons behind outsourcing:

  • Cost reduction: 59%
  • Focus on core business: 57%
  • Solving capacity issues: 47%.

Additionally, global spending on outsourcing is projected to reach $1,138 billion by the end of 2025, with IT outsourcing seeing the most growth at $519 billion. Businesses increasingly leverage outsourcing for cost savings and as a strategic tool to access specialised skills, advanced technology, and 24/7 productivity.

What Should Stay In-House?

Company Culture

While external consultants can help articulate your mission, vision, and values, authentic company culture must originate internally. Outsiders can guide cultural change but cannot lead it effectively. For culture to be embraced, it must be driven by internal leadership.

Your USP (Unique Selling Proposition)

Your core offerings—what customers pay for—should never be entirely outsourced. If your core business can be replicated externally without a loss in quality or cost advantage, customers may seek alternatives. Retaining control over your USP ensures competitive differentiation.

Technical Problems Without Understanding the Solution

Outsourcing IT expertise is common, with IT services making up 31% of all global outsourcing since 2018 and expected to grow significantly by the end of 2025. However, businesses must retain a detailed understanding of their core technologies. For example, startups outsourcing software development must ensure they have documentation and internal knowledge to adapt or maintain the product independently.

Management of Outsourced Projects

Outsourcing reduces workload but requires effective internal oversight. Managing multiple suppliers and ensuring alignment with business goals are critical responsibilities that cannot be outsourced.

Ideal Tasks for Outsourcing

Outsourcing works best for tasks that:

  • Are outside your core business
  • Are cheaper to outsource than perform in-house
  • Can be clearly defined with deliverables
  • Do not require skill development within your team
  • Can be measured using KPIs

Examples include meeting room management, digital mailroom services, workplace data analysis, and IT infrastructure management. Ricoh’s managed services exemplify this approach by helping businesses streamline operations while maintaining focus on their core activities.

Ricoh’s Managed Services Advantage

Ricoh currently provides managed services at over 130 customer sites across the UK. With a Net Promoter Score (NPS) of 87—well above the industry average of 70—Ricoh demonstrates its commitment to customer satisfaction. Its award-winning services help businesses reduce costs by up to 45%, enhance efficiency, and adapt to evolving market demands.

Feel free to connect with me on LinkedIn to explore how Ricoh’s Managed Services can transform your workplace.

Portrait of John Chambers

John Chambers

Director, IT Services, EMEA Sales Ricoh UK

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