Essentials Report

Topic Overview: Outsourcing

April 8th, 2008
With contributors:
Bill Martorelli , Paul Roehrig, Ph.D.

Summary

Outsourcing in the context of today's IT organization means partial or complete delivery of an IT service by a third party. Outsourcing promises significant benefits, but those benefits are achieved through proper coordination with internal systems and processes, not ad hoc attempts at blindly reducing costs. Offshore outsourcing presents multidimensional challenges of cultural differences, communication, and coordination. There has been a boom in these firms, showing high-quality results at much lower costs.

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