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Outsourcing MIS 5973 Rui Huang, Sujun, Lamont Allison, Allen Burcham
What is Outsourcing? ,[object Object],[object Object],[object Object],[object Object]
Why do Companies Outsource?
Reasons for Outsourcing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
What Can be Outsourced? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
When to Outsource PricewaterhouseCoopers Model Grey Area Not Outsourced In House if Possible Outsource Competitive Strategic Non-Strategic Non-Competitive
How to Implement Outsourcing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Problems With Outsourcing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Problems With Outsourcing
E-Commerce Hosting Solution ,[object Object],[object Object],[object Object],[object Object],[object Object]
E-Commerce Hosting Solution ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Database Outsourcing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Email Outsourcing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],“ The total cost of ownership for an in-house email system is likely to be in the range of $200 to $400 per user per month……. Outsourcing should reduce TCO by 10% to 30%.” Ferris Research, June 2001 Typical Services
Typical Services ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Costs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],http://www.acadea.com/WebmailPrice.htm
Costs Example 4: 100 User Multi Server, Multi Location Network In-House Cost Salary For Sr Level Network Engineer $65,000.00 Salary For Software / Hardware Support Technician $40,000.00 Medical Benefits and Payroll Expense     (assume 1 married 1 single) $ 18,100.00 Office Space and Expenses $ 10,000.00 Continuing Education $ 5,000.00 Hardware Repair Parts $ 10,500.00   =========   $148,100.00 Sullivan Data will provide on-sight technician during regular business hours for between $90,000.00 and $100,000.00 annually depending on equipment chosen http://www.sullivandata.com

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Outsourcing.ppt

  • 1. Outsourcing MIS 5973 Rui Huang, Sujun, Lamont Allison, Allen Burcham
  • 2.
  • 3. Why do Companies Outsource?
  • 4.
  • 5.
  • 6. When to Outsource PricewaterhouseCoopers Model Grey Area Not Outsourced In House if Possible Outsource Competitive Strategic Non-Strategic Non-Competitive
  • 7.
  • 8.
  • 10.
  • 11.
  • 12.
  • 13.
  • 14.
  • 15.
  • 16. Costs Example 4: 100 User Multi Server, Multi Location Network In-House Cost Salary For Sr Level Network Engineer $65,000.00 Salary For Software / Hardware Support Technician $40,000.00 Medical Benefits and Payroll Expense     (assume 1 married 1 single) $ 18,100.00 Office Space and Expenses $ 10,000.00 Continuing Education $ 5,000.00 Hardware Repair Parts $ 10,500.00   =========   $148,100.00 Sullivan Data will provide on-sight technician during regular business hours for between $90,000.00 and $100,000.00 annually depending on equipment chosen http://www.sullivandata.com