How to Manage Successful IT Outsourcing Relationships

IT outsourcing helps companies save money on operating costs and can improve day-to-day functions as well as increase profits. However, outsourcing is much more than signing a contract with an overseas company and then allowing them to manage various IT functions. It requires effective management in order to see that the relationship is working to your company's advantage.

1. Keep in mind that IT outsourcing
   is not only about saving a company money. While it will save the
   company money in the long run, it is often the benefit of having the
   necessary skills that the outsourcing will provide the company. This
   is especially true if a company simply cannot afford to hire the
   right IT talent for in-house operations.


2. Try to keep the lines of
   communications open with current IT staff members that work
   in-house. When a company decided to outsource some of its IT
   functions, it typically means that some departments may be closed
   and layoffs will follow or at least some employees will have
   different job functions. Managing your internal team is crucial at
   this point because you may receive negativity, which is why holding
   open communication sessions is critical during and after the
   transition.


3. Work with the outsourcing team.
   This is vital even though you will not be with the team on a daily
   basis, you will be receiving reports and other statuses. You want to
   ensure they understand what is expected as standard quality
   measures. Video conferencing is the best way to achieve this
   communication with the outsourced management team. The more everyone
   communicates during and after the transition, the better the outcome
   will be in the end.