BP's Consideration of Outsourcing IT

Because many businesses in the US have more often began outsourcing different business products instead of doing them in-house, it is important to understand why outsourcing may be the best option. Although many tie outsourcing to foreign markets, outsourcing can include both foreign and domestic markets. By entering into a contractual agreement, outsourcing allows organizations to pay for services they need. This gives the option for a business to get professionals to perform services for them that the business may not have the staff for. Outsourcing provides a cost saving-strategy that is usually more affordable. Ultimately,

The case identifies struggle and problem faced by organizations outsourcing IT projects and allows us to ponder on how to manage outsourcing well.

Outsourcing has become an integral part of many organizations today. Outsourcing has its advantages and disadvantages that organizations will have to weigh to decide whether or not outsourcing is the best possible solution to their current problems and business operations. Outsourcing refers to the process of hiring external provider to operate on a business or organization function (Venture Outsource, 2012). In this case, two organizations or businesses enter a contract where there will be an exchange of services and payments. This paper will discuss the possible risks an organization may encounter in outsourcing in relation to the use of an external service

Using strategic outsourcing, the Campbell Soup got significant costs saving on IT development and made its information system up to date.Outsourcing has a lot of benefits for business organizations, however, Campbell soup saw more than costs saving but long-term strategic benefits.Campbell soup successfully managed its outsourcing project by better control of critical aspects of the organization and mitigating the almost risks.Moreover, the typical relationship of “win-win” is worth learn for all enterprises want total

Summary: The above article talks about how IT outsourcing is the most cost-effective way for companies to hire qualified individuals for specific jobs without having to commit to the significant cost or maintaining a year round in house team. IT outsourcing is

The vendors are investing in their employees by various training programs on different technologies. This gives a chance for the vendor to provide the outsourcing services to a company with the help of the well trained employees who are ready to work on the projects. Before outsourcing some of its products and services to a third part vendor, the company has to analyze all the factors that might result from the outsourcing decision, the advantages and disadvantages of the company both in short term and long term due to outsourcing. According to Aubuchon, outsourcing some of its products can be a good thing for a company and the judgment to outsource the services must not only based on the cost factor, but the company has to take all other significant factors into consideration (Aubuchon, 2014).

According to Corbett, trace back to the early 1990s, outsourcing came into practice for the first time. It was a time when severe depression covered around the U.S. and even those most competitive of its businesses suffered significantly. “Companies used outsourcing then to help streamline their operations and to regain their competitive strength. The result was an unprecedented period of economic growth during the latter half of the 1990s. as we enter the mid-2000s, today’s challenges may be even more pressing than those of a decade ago.” (Corbett, 15) It is the general result rather than a snapshot combined by a few specific evidences. This short revision objectively indicates that offshore outsourcing is not that threatening as proponent claimed. Organizations has benefited from this practice. And that is the reason offshore outsourcing continued and developed. History is a giant that people can stand on its shoulder. In the background of Globalization, information technology plays an important role. In the past, offshore outsourcing has contributed to the growth and development in the manufacture industry, as a sub category of offshore outsourcing, IT projects offshore outsourcing can also contribute a lot to the growth and development in the IT

The origins of many outsourcing endeavors begin as part of a strategic planning session during a period of lean years for a company or anticipation of a prolonged impending down-cycle. This is a time-period when the organization does not have a viable competitive product to offer in the market or the

outsourcing, there are several steps involved. In order to be successful in outsourcing, all steps must

During the 1980s and 90s, outsourcing organizational activities became the standard for many organizations (Kahai et al., 2011). Outsourcing, as a part of an organization’s overall strategic plan, has been effective in helping achieve organizational goals and objectives (Kahai et al., 2011). Currently, many organizations incorporate outsourcing into the strategic plan, and this trend will probably increase in the future (Heikkila & Heikkila, 2010). Although outsourcing will not solve all of the problems inherent in attempting to achieve competitive advantages and organizational cost-reductions in an organization, the practice is increasingly part of an organization’s overall comprehensive strategy in the business world (Andreff, 2009). While

     What is Outsourcing? It is a method in which companies subcontract labor and support to outside agencies (Klepper, 1997). How, why, and who companies outsource to are quickly becoming social topics of discussion in our society. Everyone seems to have an opinion on outsourcing. I bet that I can walk into a social gathering right now and hear discussions like “outsourcing is good for the American consumer” or outsourcing takes jobs away from all of the hard working Americans.” In either case, outsourcing has raised great concerns over its effects on the American economy. In this paper, I will discuss the types of outsourcing, pros and cons associated with outsourcing, management views of outsourcing, employee

Outsourcing is a technique for companies to reassign specific responsibilities to external entities. There are several motivations for outsourcing including organizational, improvement, cost, and revenue advantages (Ghodeswar & Vaidyanathan, 2008).

The vendors are much bigger, and they are worldwide companies” (pp. 382). Along with that the company board of directors though that by outsourcing it would put the company in a positions where they are fully depend on the vendors. Excessive dependency would harm their company internally as well as externally.

Outsourcing refers to hiring an outside, independent firm to perform a business function that internal employees might otherwise perform. Many organizations outsource jobs to specialized service companies, which frequently operate abroad. The outsourcing trend stands to continue; the latest wave of outsourcing impacts the information technology field. IT outsourcing includes data center operations, desktop and help desk support, software development, e-commerce outsourcing, software applications services, network operations and disaster recovery.2

Outsourcing is a business strategy that has been around since the eighties and has grown in popularity year after year since. There should be advantages to outsourcing for this trend to occur. There are however certain types of companies that would disagree with this method. Outsourcing has become one of the most controversial issues in business today. This report will explore different approaches on this matter to try and understand whether outsourcing is always the best option or not. It will study the advantages and disadvantages of outsourcing and insourcing, why some companies prefer one as opposed to the other and finally the factors that affect their decision, such as environment and cost.