October 18, 2011
The right outsourcing strategy
Outsourcing offers a lot of potential! It can not only reduce costs but also help companies improve the performance of their IT services. But many companies fail in their efforts to outsource their IT. The IT analysts at Gartner have identified the lack of a coherent strategy for introducing and selecting the right outsourcing provider as a major obstacle.
The key to success is therefore a sourcing strategy that is aligned with the needs of the business. Companies should take a strategic approach to their outsourcing projects right from the start.
In order to reduce the probability of making the wrong decisions, Gartner has suggested 10 steps for implementing the right sourcing strategy:
1. Establish both context and goals
2. Assess the current situation of IT services
3. Determine the capacities for service and multisourcing management
4. Evaluate limits and opportunities
5. Analyze gaps
6. Analyze external markets
7. Plan scenarios
8. Plan scenarios
9. Set up a business case
10. Formulate a plan for action
This also reflects what we have seen when working with outsourcing customers. A majority of outsourcing customers is dissatisfied with the performance of their service providers or unhappy with the results they have achieved. Innovation is taking the back seat and while they are spending less time and money on operating their systems in-house, they have to invest almost as much into managing their service provider. And on top of that, many companies are complaining about the lack of flexibility and about losing valuable expertise to the outsourcing provider.
REALTECH supports companies in analyzing and defining their targets, in choosing the right concept, and in selecting the partner that is right for them. You can rely on our 15 years of SAP consulting expertise.
Follow these links for more information:
http://www.cio.de/knowledgecenter/outsourcing/2289477/ (in German)
http://www.gartner.com/DisplayDocument?id=1771615
http://www.realtech.com/sap-it-management-consulting/
http://www.realtech.com/sap-managed-services/
