Sample Thesis Paper
Another successful example comes from Sun’s Outsourcing Initiatives. According to Bob Worrall (CIO, Sun Microsystems, Inc.), the areas Sun has outsourced — datacenter support, ERP support, network infrastructure management, internal helpdesk, and application development — have become less costly and more efficient. For example, after transition costs, we’re seeing about 30 percent run-rate savings through the outsourcing of our application maintenance and development function.
As far as productivity goes, the returns depend on the outsourcing contract, but the productivity improvements average somewhere between 3 and 5 percent annually. Outsourcing opportunities have given Sun more variability and flexibility to meet changing business conditions. What makes this settlement a success is figuring out what to outsource and what to keep. This usually starts with identifying core competencies and which internal IT activities can be done best by third parties. They take into consideration how much proprietary and sensitive information the enterprise should make available to an outside vendor.
Outsourcing makes sense for everybody, companies need an outsourcing model that is flexible, affordable, and aligned with their business goals. The aim is to find outsourcing solutions that address the special needs of your organization while protecting the integrity of the processes and information.