Sustainable IT outsourcing: What do companies actually gain from it?

What do companies actually gain from choosing responsible, sustainable and supply chain law-compliant IT outsourcing? (On the question of what actually constitutes responsible outsourcing, we recommend our blog post “Five questions for BitKollegen co-founder Franziska: What is responsible offshore IT?”).

Companies can also achieve significant cost advantages in the area of responsible IT outsourcing while avoiding disadvantages such as a shortage of skilled workers and increased salaries in Germany. Although the hourly rates of providers that do not focus on sustainability may in some cases appear lower at first glance than the hourly rates of sustainable providers, these additional advantages should not be disregarded.

Below we list some important aspects of responsible outsourcing that can have long-term economic benefits for the outsourcing company compared to “conventional” outsourcing without regard to social aspects:

Positive corporate reputation and customer loyalty

Consumers and business customers are increasingly interested in ethical business practices and tend to prefer brands that share their values. They are increasingly questioning the social and environmental sustainability of services and consumer goods. Customers and business partners therefore increasingly prefer companies – sometimes despite higher prices (cf. organic products) – that are actively committed to social responsibility and sustainability.

Evidence of social sustainability will also have an increasingly positive impact on purchasing decisions in the future. By partnering with an IT outsourcing company that is committed to social and sustainable principles, companies that offer services to their customers can therefore strengthen their own reputation and ultimately their economic success.

High availability and long retention of highly qualified and motivated talents in the team

Outsourcing companies that take their social responsibility seriously often attract professionals in the target country who are not only highly qualified and the best in their profession, but also have a strong set of values of their own. Values such as equality for employees of all genders and a good and positive working atmosphere are also important to our team members and are one of the reasons why they work with us. This makes it possible to create dedicated and motivated teams that identify more strongly with the corporate vision. This helps avoid high team turnover, reducing the need for frequent onboarding and learning phases.

Mitigating risk in the face of increasing compliance and reputational risks.

By working with a partner that strictly adheres to social standards and follows sustainable practices in terms of working conditions, environmental protection and human rights, companies can reduce potential reputational and compliance risks.

Social and sustainable IT outsourcing also mitigates the risk of violating existing and upcoming voluntary or mandatory social standards. These include, for example, the supply chain legislation that is widespread in Europe or the CSRD as well as other already announced requirements at EU level. By cooperating with responsible outsourcing companies, companies can ensure that they adhere to all relevant guidelines.

Promoting a sustainable corporate culture

By supporting social and sustainable IT outsourcing, companies not only signal their values to the outside world, but also promote a culture of social commitment and sustainability internally. In addition to the customer loyalty already cited above, this can also be an important signal to (current and future) locally employed workers.

As a result, social and sustainable IT outsourcing therefore leads to a win-win situation for companies and outsourcing employees. It shows that exploiting the advantages of global supply chains does not necessarily have to lead to the structural disadvantage of certain groups, but that everyone involved can benefit.