Outsourcing
 
 
IT Outsourcing BPO
Customer No-Nos

It’s easy to point the finger at a provider of outsourcing services when an arrangement doesn’t meet expectations or fails miserably.
But the fault doesn’t always lie with the vendor. Users of outsourcing services, too, must share the blame.

What are the most common mistakes?

In a recent report called “Six Mistakes for Enterprises to Avoid,” Gartner Inc. provides a glimpse of customer no-nos.

Short-term focus: Executive management sees outsourcing primarily as a way of cutting costs in the short term and does not consider the long-term implications
Poor communication: Failing to keep staff members fully informed about outsourcing plans causes morale to plummet and leads to an exodus of the most valuable staff members
Inadequate service levels: Enterprises fail to set service-level agreements (SLAs) from a business perspective and do not communicate results to the right people or business units.
No benchmarks: Without benchmarks, an enterprise cannot analyze an external service provider’s performance, a problem that is exacerbated because most outsourcing contracts are not designed to cope with the inevitable changes in business requirements.
Failure to recognize risk: Enterprises consistently enter into outsourcing deals without considering their own risks or those of the ESP, and how those risks can be mitigated.
Insufficient resources: Enterprises do not make plans or budget for sufficient resources to manage their outsourcing deals, assuming that once the contract is signed, internal resource needs go away.
   

 

 
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