Wednesday, August 11, 2004

CRM Outsourcing
There are many factors to consider when outsourcing a project. Contrary to current popular belief, the decision is very rarely made due to cost. Actually, cost is usually about the same. In many circumstances, key customer information is an asset not considered acceptable for outsourcing. Many companies have complex integrations which are too difficult to manage between outsourced and internal projects. Business who's CRM implementation is tightly integrated into backend services find it almost impossible to outsource due to multiple integration points and methods. I have found that because of a continuous evolution of learning and changes as a CRM product is used, outsourcing is a bad idea. Much more can be accomplished with an internal staff able to quickly adapt and change as business needs dictate.
For some companies outsourcing is the only solution. Few companies actually have the expertise necessary to complete many of the complex tasks necessary in a CRM implementation. Staff size and their capabilities are high on the list of reasons to outsource. For some CRM is an add-on rather then an integral part of current internal systems.
As you can see there are good arguments on both sides why a company may or may not outsource part of, or an entire CRM project. I think these decisions will continue to be made on a case by case basis.