Over the last two decades I have had the opportunity to work with some of the largest (as well as mid-sized) enterprises who had outsourced their IT work to offshore based teams. The offshore teams themselves were either part of service providers who were domestic companies out of North America/Europe, or part of providers who were headquartered out of India (with largely a sales presence in North America/Europe).
In this day and age, there is no organisation that does not require outsourcing governance as a part of its operations. It could be critical or a support function, but outsource they all do.
What is intended to be a seamless transition of work and, in some case, part responsibility, in fact, becomes fraught with challenges. What should’ve been an easing of the load for the outsourcing organisation becomes a point of stress and could even lead to lower productivity because of duplication of effort or lack of harmony.
Jack Welch once said, “Change before you have to.” In today’s rapidly innovating business world, change is, frankly, inevitable. Business needs change and skill sets have to keep up. But how do you know if you are making the right changes and developing the correct skills as roles and responsibilities evolve? And how do organisations transition from job-centred to people-centred as routine tasks shift to knowledge-based work?
For outsourcers, a commitment to best practice processes is absolutely vital for success. They not only ensure that your business is offering best-of-breed services, but they also go a long way in reducing overall business costs and working capital by as much as 15 to 20 per cent. These result in a highly competitive enterprise, able to maintain growth while driving business-wide efficiencies.
Faced with a seemingly endless cycle of disruptive technology and increasingly inflexible budgets, IT executives have their work cut out when it comes to making decisions about how to improve operations and meet demanding business needs without driving costs up. Today's heavy-handed drive for cost savings necessitates that IT services are demonstrably aligned with business priorities.
Budgeting for IT has always been an uphill battle, with the boardroom tending to try and cut back on spending whenever possible, despite a driving desire for the competitive advantage strong tech investment brings. This is especially true for cybersecurity, which has always been hobbled by the difficulty in proving its day-to-day value. It’s only when an attempted attack occurs that the value of security investment overtakes the “it won’t happen to us” mentality.