Poor management relationship takes toll on outsourcing success
A survey by PMP Research has found out that CIOs need ‘relationship counselling’. The survey, commissioned by European IT services provider Computacenter was trained on getting the most out of an outsourcing setup. With this, difficulty in managing partner relationships was cited by 74% of the respondent CIOs as biggest outsourcing difficulty.
The survey differentiated operations of the private and public sector. Broken down:
- Around 65% of the private sector CIOs (of these, 55% are specifically in manufacturing) are working in collaboration with outsourcers
- Around 45% of public sector organizations work with more than one outsourcing partner
These highlight the need for effective management even more. Only 7% of the private sector CIOs indicated seeing significant improvement to operations – a contrast to the public sector’s 28%. This may point to the public sector’s recognition of the need to nurture management relationships among partners.
Ben Booth, MORI CIO comments, "In my experience working with a number of partners requires a very different approach. CIOs are looking for their teams to manage the overlaps and interfaces of multi-vendor relationships effectively. It is only those organisations that do get it right who will get the most out of outsourcing."
related stories, by category: