Monday, 6 February 2012

'Outsourcing – Is it an Advantage or a Disadvantage?'

Read a short post about advantages vs disadvantages of outsourcing which I of course commented. One of the reasons I started to blog was to tell stories about outsourcing and the importency to choose wisely once the decision is taken.

Short break out:
"Outsourcing can be both beneficial and non-beneficial depending on your reason why you choose to outsource. To begin with outsourcing, according to Wikipedia, “is the process of contracting a business function to someone else”. But why outsource if the job can be done in your own company by your own employees? Therefore, the reason behind outsourcing plays a vital role in the decision to avail of services outside the company."
My comment:

"Agree in A's and DA's and you can add more on both sides if you want to. But I think the most important thing to address is the one you mention; you have to know why you want to outsource or adopt a cloud service. It's like any other business decision; you have to have a goal, a strategy and to know why you have it.

The reason why you want to outsource should be your reason and it should be motivated. Maybe based on a recommendation from an external part (trusted advisor, management consultant or similar) but always motivated. You should not outsource if not truly motivated or with a motivation like "everyone else" or "we save money"; “”we” are not everyone” and “why do we save money” are relevant q's.

Once the decision to outsource is taken;
- Use professional support (if not inhouse) to find out how to, when and who should source it.
- Consider schedule; do not rush in to wrong solution and sourcer.
- Without slowing down; don't force the project, it will not be a good result - and it’s your business you're dealing with. The sourcer will climb mountains to succeed.
- Information, information and information to the organization: when, why and how.
- Stakeholders and good sponsors. You, as a leader, should not be alone in this decision.
- Sign a good agreement.
- Choose sourcer and solution wisely. Even if a good agreement it will take tons of time & money and loss of confidence if you annul the deal. You can’t afford to choose wrong.

Quote from a colleague: “Compared to buying cheap you only cry once when buying quality!”

Try to let go of control, trust the sourcer as you trust the one who build your house, the captain in an airplane, the chef in an restaurant – they are all professionals and so are the sourcers.

In the same area; ‘Don’t blame the cloud’ ("

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