In "The Handoff," we offer advice on the implications of management outsourcing and tips on negotiating a contract. A key consideration: your people. It's ironic that those employees best qualified to manage the service delivery relationship and make sense of those daily exception and performance reports are the same people who would provide the best outsourcing cost actualization through their disemployment.
In "Teaming Up With the Right Management service" (page 40) we introduce the fictional TacDoh, which sells deep-fried foods and is looking to reallocate a portion of its IT budget to support business-focused development projects. Four management service providers--Net ProActive Services (formerly Bangalore Labs), HCL Technologies, iNOC and PerformanceIT--submitted RFI responses. Although we liked the service options presented, the money TacDoh would save wasn't even enough to keep it in canola oil.
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By the Numbers
$350 billion: Overall worldwide outsourcing market
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