There are as many definitions of outsourcing as there are ways to screw it up. But at its most basic, outsourcing is simply the farming out of services to a third party. With regards to information technology, outsourcing can include anything from outsourcing all management of IT to an IBM or EDS to outsourcing a very small and easily defined service, such as disaster recovery or data storage, and everything in between.
The term outsourcing is often used interchangeably—and incorrectly—with offshoring, usually by those in a heated debate. But offshoring (or, more accurately, offshore outsourcing) is, in fact, a small but important subset of outsourcing wherein a company outsources services to a third party in a country other than the one in which the client company is based, primarily to take advantage of lower labor costs. This subject has proven to be a political hot potato (see Offshore Outsourcing: The Politics and Offshore Outsourcing: The People) because unlike domestic outsourcing, in which employees often have the opportunity to keep their jobs and transfer to the outsourcer, offshore outsourcing is more likely to result in layoffs.
The business case for outsourcing varies by situation, but reasons for outsourcing often include one or more of the following:
Geoff Nesnow, Iron Mountain's senior manager of data protection market strategy, outlines some options and strategies for protecting everything from CRM data...
Sponsored by Iron Mountain View this Webcast »
Just the basics, please. Sometimes we all need a refresher or we need to make sure our team and our colleagues are all on the same page.
Over 25 tutorials on everything from business intelligence to virtualization.