Friday, May 20, 2005

Outsourcing Problems

A company can save a lot by outsourcing in terms of money and human resources. But the key point above all this is management of the resources. The resources if not managed properly can lead to expensive mistakes, unmet expectation and even project failure.
It has been found that only few outsourcing projects are problem free. There are a lot of things which can go wrong and there is a need to tackle the project carefully to keep companies from becoming mired in some any management issue.
If we try to find out what can go wrong there is a complete list which can be prepared. These issues are summarized as below:
The outsourcing company should ensure that the vendor should not rise up will the issue of owning the source code.
Also there should be flexibility in the relationship that will it not be affected by the changes in the business processes
Also there must be a common link between the two parties.
As confusing and complicated as it is, managing outsourcing projects is something that IT managers better master because there's no sign of outsourcing slowing down.