A Recipe for Outsourcing Success

by Charlton Monsanto

Today, outsourcing information technology and business processes is commonplace for just about any type of business. To effectively manage an outsourcing relationship, you must have excellent vendor management skills, reliable procedures in place, and be able to follow good practices that have been tried and tested by others before you. It also requires expert guidance from those who have industry expertise in the technology or business process that is being considered for outsourcing. However, while formal expertise, processes, and good practices are necessary components for managing a vendor relationship, the informal art of managing and combining relationships, people, and politics is a critical piece of the puzzle. It is essential that this be a part of the skill set of the internal team that is responsible for the outsourcing initiative's success.