Let Us Talk about Trends in Construction & Engineering Services Outsourcing

The main factors that have fueled a recent trend in technology solutions outsourcing (ESO) are the diversity of engineering services. The outsourced IT solutions offer a unique stance on engineering KPO. It also demonstrates the pressing need for cost management in yet-to-stabilize global markets already undergoing budget austerity measures.  

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Before delving deeper into the factors that contributed to the transition in ESO, let us consider the three critical factors that have kept it on tenterhooks: 

  • Serving as the company’s innovation center—Because core engineering services are seen as the company’s innovation center, there is still a reluctance to outsource them to third-party providers.
  • Increased time spent—in this era of just-in-time delivery, increased turnaround time is needed, making it possible with outsourcing IT development. 
  • Quality constraint—need for impeccably high service quality

Meeting Acceptance Parameters 

When it comes to outsourcing engineering facilities, there has always been a strong hesitation. However, a significant development in recent years is that this hesitation in hiring outsourced IT solutions is paving the way for a fresh and sustained influx of outsourcing revenue into the engineering business. This demonstrates all critical parameters, such as expertise, protection, personnel, efficiency, distribution, and ongoing support with an IT out-staffing company. 

Covering Diverse Sectors 

Another notable shift is that, in addition to the main anchor sectors of automotive, construction, telecommunications, and aerospace, other sectors have seen significant ESO gains with outsourced IT solutions. Among these sectors and functional activities are the following: 

  • Oil and Gas 
  • Product Design 
  • Process Engineering 
  • Plant 
  • Utilities 
  • R&D 
  • Prototyping 
  • Infrastructure Development 
  • Health Care Equipment 
  • Industrial Design 
  • Innovation 
  • Transportation and many more 

Movement from Sub-Crucial to Crucial Functions 

Previously, outsourcing engineering services was limited to low-level engineering functions that were largely non-critical. However, cost implications and other factors have improved significantly in recent years with businesses hiring outsourced IT solutions. This is especially true when outsourcers are gaining interest in outsourcing mission-critical and innovation-driven engineering services. The steady adoption of ESO in the aerospace, defense, and automotive sectors demonstrates that this trend is correct. 

Geared-up Service Providers 

Sensing a change in the trend, service providers have increased the stakes and prepared all the enticing factors necessary to turn this trend into a massive shift and many possibilities. This obvious shift has improved the supply side’s conduciveness and competitiveness as well. Additionally, this has resulted in the accelerated recruitment of professional engineers with outsourced IT solutions delivering competency in development training and capability demonstrations at international engineering meetings and seminars. 

Empower detailers with data 

Electrical, plumbing, and mechanical design specifications are added to physical designs (or 3D models) to decide possible component locations, enhancements, electrical, plumbing, and other techniques. The engineering and construction industry is experiencing a surge in demand, with more businesses turning to technology to find the right customer solutions. With a tangible model, outsourced IT solutions can help bridge the gap between an architect’s purpose and method. 

This information step will affect all other activities, so it must be correct. As data-rich models are used, certain contradictions may be discovered earlier. stabilizing this problem at the outset and in a virtual environment allows details to implement critical safeguards and helps to enhance project reliability 

A Managed Service provider should ensure that content-enabled models are maintained under manufacturer requirements, ensuring that all business process outsourcing companies have accurate component data. 

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Streamline fabrication processes 

Uncorrected details leak into the planning process and undermine the overall success of the project from the outset. Project managers may convey mission-critical knowledge through content models. Even if you want to outsource fabrication, you can share relevant details such as 

  • Verified component measurements 
  • Accurate manufacturer specifications 
  • In-depth fabrication instructions 

When it comes time to concoct components, 3D models enhanced with the appropriate data can be directly incorporated into the automation of cutting machines. This dramatically improves manufacturing efficiency and virtually removes human error. This helps minimize waste in the fabrication factory and speed up and optimize fabrication using outsourced IT solutions. 


However, the enormous promise of engineering services outsourcing will only materialize if the associated obstacles are resolved. The potential now exists for service providers to strategically channel tech resources to countries like India. Additionally, outsourced IT solutions must prioritize service efficiency, growth sustainability, and on-time delivery processes. A larger difficulty would be to see forecasts and projections more realistically by hiring offshore IT outsourcing to leverage what is offered. 

It is clearly trending, and it will most likely continue moving in the same direction; follow the same trajectory as the BPO movement of the previous century. Thus, the takeaway is obvious: be ready and geared up to catch this massive opportunity. 

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