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Intelligent IT Outsourcing enables practitioners to focus in on the essential issues that need to be addressed so that the fundamental structure of their sourcing strategy and its implementation is sound. The authors provide insight into the challenges likely to be faced and give detailed advice on how to pre-empt and manage these. IT and outsourcing continue to be problematic, not least because
fundamental learning about this subject fails to be applied
systematically, and because IT is inherently difficult to manage.
The economics are not obvious and emerging technologies have to be
addressed, therefore IT goes to the heart of many enterprises and
interfaces with multiple business units and processes, and there
are continuous skills shortages.
Intelligent IT Outsourcing enables practitioners to focus in on the essential issues that need to be addressed so that the fundamental structure of their sourcing strategy and its implementation is sound. The authors provide insight into the challenges likely to be faced and give detailed advice on how to pre-empt and manage these. IT and outsourcing continue to be problematic, not least because fundamental learning about this subject fails to be applied systematically, and because IT is inherently difficult to manage. The economics are not obvious and emerging technologies have to be addressed, therefore IT goes to the heart of many enterprises and interfaces with multiple business units and processes, and there are continuous skills shortages. Unfortunately complexities are not removed in outsourced situations where additional problems come into play, for example the supplier's capabilities, whether the IT is right for an outsourcing solution, and whether the contract is robust but flexible enough to allow for outsourcing to take place. Objectives need to be realistic, and factors such as whether the internal management is mature and capable enough in this field, and the impact of prohibitive switching costs on behaviour once an outsourcing deal has been signed all have to be taken into account. The authors have built up over two decades of research, advisory and practitioner experience that enables them to distil the fundamental challenges in IT and outsourcing and demonstrate how these can be addressed.
Adoption and use of a contract scorecard demonstrates a maturing ability to manage commercial outsourcing arrangements. The process of designing the scorecard helps you nail down the key outcomes and avoid lack of focus, inconsistent objectives, hidden costs, indifferent service and deteriorating relationships with your contract partners. Sara Cullen's The Contract Scorecard will help you design and drive successful contracts. It offers a systematic guide based on practical advice and examples; one that explains the Contract Scorecard concept and demonstrates crucial implementation activities such as: c The development of performance measures that work c Sound Service Level Agreements that make obligations clear c A Governance Charter that ensures both parties will adopt successful management techniques An upfront investment in your contracts, from a commercial rather than legal perspective is probably the single most influential activity you can undertake; one that will ensure your outsourcing relationships have clear business goals as the focus of the deal. Reading a copy of Sara Cullen's The Contract Scorecard should be the first step in that investment.
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