When Outsourcing Costs More Than It Saves

by Prins Ralston

When the Australian federal government and some of the state governments first looked at the possibility of outsourcing their information technology and telecommunications (IT&T) business in the early 1990s, much was made of the potential to use their considerable buying power to boost development of the Australian IT&T industry. Easily the largest purchaser of IT&T products and services, with around 40% of the domestic market, the federal government recognized that by providing contracts to local suppliers, it could grow the industry and provide a springboard for Australian IT&T companies to export their products and services overseas.

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When Outsourcing Costs More Than It Saves October 1999