How will IT outsourcing play out in companies’ recovery plans?
As IT outsourcing is one of the core areas I cover for SearchCIO.com, I am, of course, interested in how both offshoring and onshoring will fare in the coming months.
According to some soon-to-be-published analyst research on where IT outsourcing is going in the second half of 2009, although most enterprises have put IT outsourcing more on the back burner recently, the tide is about to change. Among the analysts’ conclusions: Companies’ outsourcing engagements will be more global in nature in a post-recessionary environment and will not involve significant upfront capital expenditure.
Meanwhile, SearchCIO.com just published a quick guide on IT outsourcing trends in 2009. It covers trends since the end of last year, when the drop in contracts began, and offers advice on how to properly structure your IT outsourcing contract for success in the recession, as well as the Satyam scandal and the rise of insourcing.
So, as the second-half play gets under way, the stock market is surging (just today, the Dow Jones Industrial Index climbed past 9,000) and the number of jobless claims appears to be dropping. There is definitely chatter that maybe, just maybe, we’ve rounded the corner on the worst of this recession.
Would a turnaround now change your outsourcing strategy? Did the Satyam scandal have any impact on how you do business? Are you considering insourcing as an option? Budget season is approaching for many enterprises, so this is an ideal time to examine these strategic questions.
I want to hear from you, our readers. If you’ve got stories or advice to share with your peers, please email me or find me on Twitter at @rlebeaux.