Managing IT Outsourcing (ISYS90055)

Aims

Outsourcing has become a routine part of management, yet it remains far from easy. In general, the concept of using external organizations (whether domestic or offshore) is considered an efficient and logical way to get things done, and is indeed widely accepted in many sectors of the economy. However, the learning curve is significant, it involves considerable hard work by both parties on a daily basis, and the results are highly dependent on the capabilities of the organizations involved. This subject focuses on the crucial activities that make a difference between success and disappointment.

Indicative Content

This subject provides an overview of both the theory and practice of managing outsourcing throughout the lifecycle.

Topics discussed are:

• Architect Phase: Deciding what and how to outsource. Designing a deal, developing a Contract Scorecard, Service Level Agreements and Key Performance Indicators, pricing, and the contract
• Engage Phase: Competitive bidding, choosing supplier/s , negotiation, due diligence
• Operate Phase: Mobilisation, governance and contract management, relationship management
• Refresh Phase: Disengagement (exit), next generation planning.