The benefits from outsourcing are very tangibly felt in today's economy. Every minute your employee spends on an activity that does not directly add value to your customer's solution is a cost that can be saved. Many businesses have started outsourcing to IT service companies as a strategic initiative to cut costs and to have access to intellectual capital not available in-house. This strategy helps achieving a lower production cost, making better use of available resources, focusing energy on the core competencies of a particular business, or just making more efficient use of labor, capital and information technology.