Successful It Outsourcing: From Choosing a Provider to Managing the Project (Practitioner Series)

Rating:
Summary: Balanced, agenda-free & realistic
Review: It's difficult to find a new book on outsourcing that maintains a neutral perspective and does not promote an agenda for or against. This is such a book. The author leads you through the key issues, devotes an entire chapter to the pros and cons of outsourcing with sufficient information with which to make an objective decision, then steps you through the process.

The process set forth in this book is straightforward. There are no innovative wrinkles, not should there be in my opinion. The tasks, completely covered in individual chapters, are:

- Establish objectives and parameters for outsourced services. Clarify the business drivers, define service objectives, analyze the business case, and examine factors such as staff transfers, etc. The business case analysis material in this book is particularly strong in that it looks at a multitude of factors. I also like the elicitation of stakeholder views and requirements in the initial stage of the process.

- Choose a provider. This is covers the RFI/RFP process, negotiations, selection and award. All aspects of due diligence are covered in the chapter devoted to this stage.

- Manage performance. There is a solid focus on service management and contract administration in this section, and is sprinkled with good advice throughout.

- Measure performance. This is one of the strongest sections. The coverage is complete and customer-focused. It is also objective and partners with the provider - one of many indications of the balanced and objective approach the author takes.

- Risks and controls. This section addresses the transition to the provider, associated risks, and how to effectively use the contract as a control mechanism. Key risks and how to deal with them during the life of the contract are outlined. This information shows the depth of experience the author has, and the advice is genuinely useful.

- When outsourcing fails to deliver. This section is tied to the previous one. It provides common symptoms, how to proactively resolve them, escalation when necessary, including arbitration, alternative dispute resolution, and litigation if necessary (and permitted by the contract). Knowing this information in advance can help to craft contract terms and conditions that anticipate them, and protect both parties and their respective interests.

The book wraps up with a section on alternative supply models, such as application service providers, managed providers of storage, security and other models. This information shows not only future trends, but may spark ideas about how to source your services in ways other than traditional outsourcing.

Information provided in this book will work with both on- and off-shore providers; however, be aware that there are additional issues with off-shore providers, including off-site staff, time zone differences, and perceived control.

A book that I recommend reading in conjunction with this one - before reading it in fact - is "Outsourcing: How to Make Vendors Work for Your Shareholders" (ISBN 1892606046). It is more of a sanity check document that will cause you to think about objectives and alternatives to outsourcing before you embark on a course of action that leads to outsourcing.