Often C-suite executives and IT managers are perplexed with the goal of real value achieved from outsourcing.
Talking about numbers here, IT is one the largest consumers of the outsourcing industry with 94% organizations using it for both applications management and infrastructure. A Deloitte Global Outsourcing Survey in 2016 reported cost cutting being a major factor that encourages businesses to outsource.
In fact, outsourcing is expected to save customer costs by a minimum of 30% depending upon how they strategize the overall utility.
“When an outsourcing initiative has a clear, well-understood goal and it serves a strategic purpose, then it has a good chance of succeeding.”
– Will Weider, CIO, PeaceHealth
The question is: How is this good chance and real value accomplished?
And that’s where the confusion lies. While cost saving, and other strategic goals are critical to all businesses who outsource, they have mostly reported to miss the mark.
To solve the conundrum and derive the best results from IT outsourcing, there are ways that businesses can adopt and reap the benefits of this system.
Here are the 5 best practices for IT outsourcing that will be helpful for your organization: