What are the implications of outsourcing?
How do I manage outsourcing relationships? Surveys and studies have proven that more than 90% of Fortune 1000 companies outsource some part of their IT operations. Also, their spending on offshore IT outsourcing is repetitive, i.e. they do it on a year-on-year and not experimental basis. If this is the case, why would an organization not outsource and benefit from reduction of the cost of IT initiatives. Selection of the right vendor is also very important in determining of the success of the new paradigm. If the vendor has an onshore office in your country, your relationship is highly de-risked as you have someone in your country to respond to you as any point in time. After you have made the decision to outsource and also selected the right vendor, you need to also maintain a regular and seamless communication so as to constantly monitor the project’s progress and maximize out of the outsourcing possibility.
