By: Robert Pascal
The corporate power dynamic is undergoing a two-pronged recalibration: companies are facing volatility after the bursting of the investment and IPO bubble, and at the same time, tools like AI and outsourcing have achieved unprecedented maturity to address changing business needs.
According to Fortune, 2023 was a worse year for corporate bankruptcies than 2020. At the same time, over a third of businesses started to use AI last year, and far more plan to implement it in the years to come. Research has also seen the market for outsourcing grow steadily in recent years; between 2016-2023, expenditures on outsourcing rose from $606.9b to $971.2b worldwide.
Outsourcing and AI are a boon for companies that are looking to gain stability and scalability in a post-investment bubble economy.
“As the economy starts to stabilize, companies want to grow again, but they want to do so in an intelligent way with fewer risks. We’re no longer in a ‘grow at all costs’ ecosystem,” said Commit’s Chief Revenue Officer Max Nirenberg. “In today’s competitive landscape, harnessing AI and global talent is key to staying ahead; AI and outsourcing are the synergistic forces that drive innovation and market leadership.”
Access to global talent through outsourcing is especially critical during times of low national unemployment levels. The U.S. unemployment rate in December 2023 was 3.7%, suggesting that the vast majority of Americans who want or need a job already have one.
Looking globally allows employers to access eager and highly skilled engineers across the world, and protects against future layoffs by providing a dynamic, part-time workforce.
“Outsourcing is safer, and possibly your bet for tech talent in the current market,” said Nirenberg. He also highlighted the enhanced productivity and operational support that AI delivers to outsourced teams and beyond. This duo of tools and resources can help companies weather volatility and achieve an accelerated path to market for their products and services.
“At Commit, we offer our clients ‘Adaptive Pods,’” said Nirenberg. “These are interchangeable outsourced teams that represent an innovative response to market demands for scalable and flexible project resources. This modular approach has been extremely popular across the spectrum, from agile startups to well-established enterprises.”
The global outsourcing market is projected to continue growing in the years to come, a clear indicator of the strategic pivot that companies are making towards external resourcing. The results support this trend: companies that outsource key functions can expect to see an average return on investment of over 27%.
“But outsourcing isn’t just about cost savings or ROI; it’s also about accessing the talent the world has to offer,” said Nirenberg. “We source and foster top talent, regardless of geographical boundaries, so companies can scale their resource allocation efficiently.”
“At the same time, AI isn’t just a complement to outsourcing, it’s a catalyst. Future-focused companies consider both AI and outsourcing in tandem to help them adapt to change and develop real and scalable growth.”
About Commit
Commit is no stranger to innovation. Founded in 2005, this global company with over 700 multi-disciplinary experts, spanning the US, Israel and Europe, has cultivated expertise in delivering end-to-end technology solutions and helped over 30 unicorns bring their products to market.
Published By: Aize Perez
