Ousourcing Is Not A Black Art - Deloitte

Outsourcing should not be viewed as a black box to offload poorly understood functions to. That is the conclusion of a report on the IT outsourcing practices in local counciles, compiled by Deliotte.

A summary of the report can be found here.

Their conclusion however is very much valid for enterprises too. Offshoring your IT functions just because they are not working well in-house just does not work.

When outsourcing any function managers must make sure they have both the knowledge and the capability to manage their new operations. This remote management and ensuring quality and of delivery are huge challanges even for the best run institutions.

While outsourcing does cut costs and increase capacity it's not a silve bullet to any IT or servicing problem.