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Achieving Outsourcing Success
Outsourcing continues to be high on the CIO agenda. However, outsourcing is not a panacea and is best approached with specific goals and a strategy that makes sense.
Above all, IT leadership needs to clearly define the problems the organization is trying to solve with outsourcing and the desired benefits and outcomes they expect. The ITM Business Suite provides a system of record that helps answer questions critical in this assessment:
- What services, applications, and projects are impacted by outsourcing?
- What is the cost of providing the services and activities to be outsourced?
- What is the strategic value of these activities to the organization?
- What people and assets are affected?
- What existing vendor relationships are impacted and what are the associated costs and contract terms?
With a clear understanding of you baseline costs and performance metrics as well as your goals and objectives, you can successfully evaluate outsourcing options and have confidence that the expected cost and service quality goals can be achieved.
Using ITM Software to Manage the Ongoing Relationship
Once you outsource, how do you manage going forward? The complexity of a major outsourcing relationship increases the need for an IT system of record to serve as the glue between siloed functions, both insourced and outsourced. Furthermore, controlling IT demand – not driving efficiencies – becomes the biggest lever in cost control when moving to an outsourced model. The ITM Business Suite provides the following capabilities to manage the complexity of an outsourcer relationship:
- Manage client demand.
- Evaluate and track vendor and outsourcer performance.
- Track costs to ensure savings targets are achieved.
- Manage regulatory compliance.
Insourcing – Bringing IT Back In-house
Sometimes an outsourcing relationship does not deliver, or it simply outruns its useful life. Bringing IT functions back into the organization can be as challenging as the original effort to outsource. ITM Software provides a comprehensive system of record for IT that can ease the transition from outsourced to insourced.
Facing an Outsourcing or Insourcing Decision?
ITM Software has former CIOs and IT leaders on staff who have direct experience making outsourcing decisions and managing outsourcer relationships. We can help. To learn more about how ITM Software can help you tackle your outsourcing challenges, please contact us.
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