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Essay on Outsourcing

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Outsourcing Contents. 1 Abstract 2 Introduction 3 Fundamentals 4 The Main Strategy 5 Sucessful Outsourcing 6 Conclusion Outsourcing and how it can help IT Managers enhance their projects. Abstract With computer systems / projects and there implementations getting more complex with every day that passes , the tendering of IT responsibilities to external parties is becoming more and more attractive to the IT Managers of large organisations. The common name for this type of operation is "Outsourcing". It is the attempt of this paper to explain outsourcing , it's pro's and con's and how it can help our friendly IT Manager enhance developments or implementations. Introduction Outsourcing can be defined as a contract service …show more content…

From the open and effective competition, the organisation is then able to judge soundly in determining the best strategy after it has taken into account of the competition and value for money principle. IT managers can go through lengthy procedures to minimise problems with outsourcing, but still things can go wrong and intended objectives may not get achieved. To overcome such mistakes, it may be prudent to look at other companies that have undertaken outsourcing and learn from their successes and mistakes Listed below are some of the major issues to be considered when using outsourcing: - An IT manager that undertakes outsourcing must be able to clearly identify its long term IT strategic directions and long term information needs. - Organisation must be able to clearly define its business objectives. - To avoid unnecessary friction between the organisation and the external service provider, it would be prudent to incorporate an "extraordinary events" clause into any contract entered into. This clause should cover any extraordinary changes in circumstance that should occur . This also allows a lot of flexibility between the two parties. - The IT manager should identify all the external and internal stakeholders and the impact that the outsourcing may have on stakeholders. - Learn from other companies, use their mistakes and successes to avoid duplication and waste of

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