Risks of IT Outsourcing

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IT Outsourcing
The prospect of outsourcing various administrative and business functions may appear worthwhile when comparing vendor costs against the direct costs the company is currently spending. However, there are many additional factors that many companies do not measure that must be taken into consideration when making this choice. The IT Department specifically is one that greatly influences the success or failure of a company. It touches all areas of the business and when operating properly can help propel a business toward success or could cause a business to fail. IT, as a critical business function, will always need some presence within the business to ensure issues are responded to timely, internal IT personnel will be more knowledgeable on the company culture and operations and to prevent the dependency on external organizations to meet company objectives.
Timely Response
When problems arise with systems or when modifications are needed, timing is crucial to minimize operational downtime or to maximize the benefits from changes. However, when IT functions are outsou...

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