“Is Outsourcing Fool’s Gold?”

In: Business and Management

Submitted By Elite11
Words 473
Pages 2
The advantage of hiring existing IS staff (from a outsourcing vendors perspective) is that it allows for faster implementation of a system outsourced by a vendor. Because outsourcing is common, finding staff fast who will do the job required is key. Because most IS related staff get made redundant by the firm when they move to an outsourced function, the outsourcing vendor instantly has a pool of unemployed skilled workers that they can choose from, who already live in the area and have the experience required. This allows for the outsourcer to reduce set-up time by not having to find and hire new employees.

The second advantage of hiring existing IS staff is that they are already knowledgeable about the business. Because they already have an insight into what the business is looking for the outsourced IS to provide and/or where potential strengths/weaknesses lie within the organisation.

The main disadvantage to the outsourcing vendor of hiring existing IS staff is that the attitudes of staff running essentially the same system just under different management can be negative especially if they feel undervalued because the organization has just moved responsibility over to the vendor.

The main advantage to the client organisation of having it’s own staff re-hired by an outsourcing company is that it relieves the responsibility of managing their own staff but prevents them from moving to a competitor firm. This gives them a advantage especially if they were reluctant to let some IS related employees go, not because of their attitude but their in-depth knowledge about the business and how that information could aid competitors.

The second advantage of having your own staff re-hired by an outsourcing vendor is that the vendors ‘new’ employees already know everything about the current infrastructure, and therefore don’t have to waste time getting up to…...

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