May 21, 2006

IT Outsourcing: COUNT all the costs before moving

PA Consulting Group released a survey which shows that while businesses do consider the pros and cons of outsourcing, they don't look at the full picture and consider the costs of MOVING their operations to the outsourced vendor nor the costs of managing the legacy IT organization.

IT Consultant Lena West, xynoMedia, writes that she started noticing this trend last year.

"Business get amnesia when it comes to calculating the REAL costs of outsourcing....it's like they conveniently forget", says Lena.

She continues, "How can you consider a solution in its totality without thinking about the change management process involved? And, just because a good portion of a small businesses IT is outsourced, does that mean the systems that stay in-house have to go to hell in a handbasket?"

"Today's small businesses decision-makers are so hyper-focused on saving money and doing more with less that their business sense goes headlong out the window!"

While I can't contribute the above survey results to the plethora of failed outsourcing attempts made by small businesses there absolutely is a connection.

Email this article to someone

0 comments