Afraid To Outsource?

Outsourcing is not for the faint-hearted or the ill-prepared

. That's why understanding what can go wrong before you jump into outsourcing is a great way to reduce your risk, because then you can approach outsourcing with eyes wide open. The companies who've lived through outsourcing horrors have two things in common: lack of preparedness going into a new relationship and lack of communication once the projects gets under way. Other factors can make these worse, of course.

1. End Outsourcing because local jobs are lost

Engineers Fear Offshore Outsourcing Is Contributing To High Jobless Rates

2. Theres no long-term commitment in Outsourcing and it is wrong to outsource everything to a single vendor.

Outsourcing everything to a single vendor and making a long-term commitment -- often as long as 10 years -- can lead to problems down the road

Large providers seek large slices

The moment you make the pie smaller for each potential provider, the less interested they became in doing the job. They heard the cash registers ring, and now that the ring isn't so loud, they may opt out -- especially if they are a larger company. After all, the bigger the company, the bigger the overhead they have to deal with; at some point, the deal may not be worth it to them.

3. Managers don't think they can send Project Management, e-discovery, regulatory compliance and environmental activities off site due to cost, security, and other concerns.

4. The task is simply too big and too important to Outsource.

Project management involves organizing and balancing three basic elements: people, time, and money. Many IT shops would like to unload the nuts and bolts of IT project management onto an outside provider, but worry that the task is simply too big, too complex, and perhaps even too important to outsource. Managers also fret about losing the precise control and oversight successful project management requires, as well as the ability to turn on a dime if circumstances demand a sudden change in tactics.

5. Reluctant to embrace project management outsourcing because they were soured by previous on-site project management experiences.

They may not have experience what a really good project can look like. It's hard for them to really see what the benefits are going to be.

6. Managers often feel that privacy and security issues, as well as user access limitations, make the effective outsourcing of e-discovery material difficult, if not impossible.

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by: markcastelman

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