IT-production in the banking and insurance sector is a standard service which has an effect on outsourcing divisions. It is advisable that Application management and development of insurance and banking companies be developed and managed in house and not outsourced. It might be a risk as it deals with the core concepts of the businesses. However, certain parts of the development process which are standard could be outsourced if the company can build a good and competitive purchase organization. On the other hand, application development might be very complex and that is why a joint venture with an IT-supplier could be preferred in the future.

It is noted that Swedish outsourcing companies are experiencing difficulties in competing. Outsourcing usually takes considerable amount of time to sew together with quite a number of people involved full-time. Investment figures per deal are worth around € 700,000 to well over a € 1 million for potential suppliers. To cope with the situation, local companies are looking for niches where they can compete or sometimes partner with large companies. The Swedish government pharmacy chain, Apoteket, procured outsourcing services, a deal worth around € 116.8 million in the year 2003.