IT Outsourcing nextFriday, January 20, 2006
For striking a victorious balance at in-house IT Outsourcing requires expertise knowledge like India is producing now. Today, top Information Technology executives tend to keep strategic IT architecture decisions close to home or you can say home country. They hire outside vendors or resources to execute on those decisions when a large volume of work provides enough savings to warrant it by IT Outsourcing.
For example IT Outsourcing crests’ priority lists, are software coding and data center operations. Information Technology executives find that when such tasks are a core competency of another organization, it makes sense to take huge advantage of their expertise and economies of scale by Offshore Outsourcing.
It entails striking close partnerships that are carefully nurtured and managed, because IT executives quickly note that outsourcing never means washing their hands of accountability for out but off house work. When you hand over responsibility and forget to leave somebody smart behind to manage the deal you are going to hear the horror stories. For IBM Global Services BNSF doing IT Outsourcing its data center and Information Technology operations, including help desk and desktop support, its taking advantage of IBM’s volume discounts on equipment and gets its software refreshed every three years as part of the Software Development package.
To look at some of activity at BNSF, an IT Outsourcing team focuses on managing the IBM relationship, which also includes monitoring resource consumption, managing costs cutting and verifying that service-level agreements are to be met. The development team at this organization is led by the director, who oversees managers assigned to separate technologies. The way of assistant is done by senior technical staffers to its managers. The level of oversight prevents value leakage from our relationship with IBM, says its employee.
For another example, Chicago based ecollege, technology products and services provider to the higher-education community, keeps even tighter management control in process of IT Outsourcing. It shows their Offshore Software Development relationship with other firm in Sri Lanka. The in house IT Outsourcing developers have a bunch of offshore colleagues to help them create more than what they could do alone, who located two management employees at their Sri Lanka site.
By doubling the size of the development IT Outsourcing organization which one describes as a very modest incremental cost enabled the firm to release many new revenue generating products that would otherwise still be in development. The retained and continuous oversight of IT Outsourcing will beginning to end in design, development, QA and deployment.