Even with a great deal of planning, outsourced projects require constant management and coordination. You can assume nothing. Common vendor-related problems include highly variable performance and information hoarding. Here are recommendations for detecting and responding to outsourcing risks before they bring down your project.
This is the first article in a three-part series about identifying and preventing problems when working with vendors and consultants on outsourced projects. It is excerpted from "Risk Management for IT Projects: How to Deal with Over 150 Issues and Risks" by Bennet Lientz.
Problems with outsourcing go back thousands of years. Records from ancient Egypt document issues in managing mercenary troops. Ancient Roman and Greek records detail methods and problems in managing servants. Machiavelli, in the book The Prince, gave instructions on managing mercenary troops. Many of these ideas remain valid today.
Outsourcing has increased as firms try to implement new systems and technology. Firms outsource support activities, such as maintenance, network operations, help desk, and other work. Why do outsourcing issues arise and surprise people? Because even with a great deal of planning, you find that all outsourcing requires constant management and coordination. Some people assume that if you get the vendor started on the work, it will