In outsourcing work to vendors and consultants, companies must establish a pattern of behavior early in the project that covers expectations, promises and commitments, issues management and transfer of knowledge and information. Otherwise, secondhand information, unresponsiveness and other potential dangers can balloon into full-blown failure.
This is the final article in a three-part series about identifying and preventing problems when working with vendors and consultants on projects. It is excerpted from the author’s new book "Risk Management for IT Projects: How to Deal with Over 150 Issues and Risks.”
Outsourcing continues to grow as organizations try to do more with less. Prime candidates for outsourcing include support activities such as maintenance, network operations, help desk and other work, but many firms also seek outside help for critical projects, including new technology implementations — undaunted by myriad examples of outsourcing failures. The fact is, even with a great deal of upfront planning, all outsourced projects require constant management and coordination. You can’t assume that if you get the vendor or consultant started on the work, it will go all right.
Building on Part I and Part II of the “Don’t Outsource Oversight” series, here are some more commonly encountered outsourcing risks