About IT outsourcing

What is IT outsourcing? - In the Western world we rely heavily upon a vast array of technical devices in order to be able to communicate. These devices include PCs, laptops, telephones, mobiles, VoIP systems, PDAs and fax machines. These types of appliances enable us to communicate using the web, email, chat, instant messaging, text, video and voice. Replicate this across all or most of those devices and managing all of the functionality can become an issue... [Read More]

The future of IT outsourcing - The market for IT outsourcing is set for continued growth. This is as a result of companies looking to reduce costs and focus on key areas that affect their business... [Read More]

Why outsource? - The main reason to outsource the IT department is generally to reduce business costs and benefit from the expertise that an outsourcing company can provide... [Read More]

Types of IT outsourcing - There are a number of different IT areas that can be outsourced depending on an organisation’s requirements and size. IT outsourcing agreements may include all of an IT department, or just particular areas... [Read More]

Service Level Agreements - A Service Level Agreement (SLA) provides a framework or structure that both the customer and the IT outsourcing provider agree to. In broad terms, this may be that the IT outsourcing company must provide a response to an issue within a fixed time, the process for how problems are managed, expected resolution times and performance measurement. The SLA also lists the services that the IT outsourcing company agrees to provide... [Read More]

Legal issues - You have to keep a number of key business issues in mind when outsourcing, especially when it comes to personnel and their contracts of employment and their legal rights... [Read More]

What type of companies would benefit from IT outsourcing? - Most companies can benefit from some form of outsourcing but many are not inclined to do so because they perhaps feel uncomfortable with contracting key functions to a third party... [Read More]

What can I expect to gain by outsourcing my IT function? - It can be difficult to identify a return on investment (ROI) for IT outsourcing but the benefits are clear... [Read More]

Benefits of IT outsourcing - Organisations can gain a number of benefits by outsourcing their IT function... [Read More]

Potential pitfalls - There are many risks associated with outsourcing that should be considered when planning to outsource some functions... [Read More]

Download and Go! - If you don't have time to read the whole Understand section online you can download the content in our ebook as a pdf and read on the go.

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Planning and implementing IT outsourcing

Six steps to successfully implementing an IT outsourcing agreement - A ‘How to’ guide on how to best implement IT outsourcing... [Read More]

Points to remember when planning IT outsourcing - You must be absolutely clear as to why you are considering an IT outsourcing agreement... [Read More]

IT outsourcing case studies

Shared services center for manufacturer - Driven by strong core values, this organisation needed to pursue a focused strategy aimed at creating a premier global entprise... [Read More - pdf]

Procurement and supplier support services for US based retailer - This procurement group faced a number of critical business challenges, including a need to continuously reduce operating costs, having limited in house resources to manage... [Read More - pdf]

Questions and answers

What is outsourcing? - Outsourcing is a process by which... [Read More]

Why do I need it? - You and your organisation will need... [Read More]

I have some people within my company look after IT. What will happen if I decide to outsource that function? - There are a number of legal issues that need be considered when outsourcing especially when it comes to personnel... [Read More]

What is a SLA? - A Service Level Agreement (or SLA) provides... [Read More]

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In summary about IT outsourcing

Any IT outsourcing agreement should be dynamic as it must continually reflect the needs of the business and changing requirements of the IT department in order to reflect this.

IT outsourcing doesn’t necessarily require people on the premises of the customer. It can still be appropriate to outsource the fundamentals of the IT department, such as software support and hardware maintenance in conjunction with an appropriate Service Level Agreement in order to ensure that high levels of service are guaranteed.

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