Best Outsourcing Trends to Watch in 2018

2018 is almost here, and outsourcing businesses are on the lookout for outsourcing trends for 2018 to meet ever-increasing consumer demand.

Over the past two decades, and with the “technological boom,” just about every industry has undergone massive change. The outsourcing industry is no exception. A slew of outsourcing trends come to the fore, each year. Some adapt, evolve and outlast the rest, while others become extinct just like the dinosaurs.

Industry experts have already predicted a range of new, disruptive outsourcing trends on their radar for 2018. Some of these are sure to bring a substantial shift in the industry. These outsourcing trends are likely to disrupt major industries including automation, cloud computing, service provider roles, finance, healthcare and others.

Trend #1 More Focus on Security

Experts predict that more businesses will focus on security risks in 2018 and beyond. Over the years, security risks have become widespread in outsourcing because of the advent of Internet of Things (IoT) and telematics.

Industry insiders reveal that robust security solutions will soon become a norm rather than the exception. This realization will push companies and BPO projects to continue experimenting with security solutions to address the concern of security risks. An outsourcing survey by Deloitte found that 64% businesses are planning to focus more on defining security protocols or security risks.

Trend #2 Rise of Cloud Computing

Yet another trend that experts believe will make waves in the outsourcing industry in 2018 and beyond is cloud computing. 2018 will see more companies embracing cloud-based technology for high-quality and cost-effective services.

61% companies believe cloud computing impacts outsourcing relationships by lowering the cost of delivery. The evolving trend of cloud computing will help create more business opportunities for BPOs, cloud service providers and ITOs.

outsourcing in the cloud.
Outsourcing in the cloud. Image by Gerd Altmann from Pixabay

Trend #3 Vendors will Become More Flexibile

2017 saw a dramatic surge in the number of vendors adjusting to meet diverse client demands. Experts believe this trend will gain momentum in 2018 and beyond. Earlier, the focus of vendors was more on offering packages at affordable prices to their clients. Now a large number of vendors are focusing more on offering an all-round value proposition to their clients, to penetrate deeper in the niche market.

Trend #4 Focus Shift to Effective Vendor Management

Another trend that is sure to continue making waves in 2018 is more focus on outsourcing vendor management by companies across industries and verticals. In fact, Deloitte’s Global Outsourcing Survey found that 64% are working to improve their Vendor Management Organization (VMO) capabilities.

It is evident that more companies are focusing on more effective solutions to address the complexity of multi-vendor service models to effectively manage day-to-day operations.

Trend #5 Value Proposition Will Move beyond Just Cost

Traditionally, cutting business cost has been the key driving force behind company outsourcing choices. However, companies are now focusing more on other value areas as well. Reports in online media reveal that 21% of companies are moving to focus on quality improvement, 19% companies will focus on access to diverse skills, and 11% will now look for financial flexibility when making outsourcing decisions. This shift is sure to help clients with an all-round value proposition and it will help vendors with deeper market penetration.


It will be interesting to see which of these trends evolve and outlive the rest and which fail to catch on. One thing is for sure. Outsourcing will continue to become bigger and better with more companies choosing to outsource their work. In fact, a survey reveals that around 65% of companies plan to increase their outsourcing work in 2018 and beyond.

Shruti Gupta
Shruti Gupta is a writer and digital marketing consultant at She has a passion for technology, startups and other business topics. She lives and breathes digital marketing, and has contributed to a number of famous websites. Her aim is to spread her thought-provoking ideas to all generations.