Exam 16: It Sourcing

What are some reasons that outsourcing possibilities continue to expand?

Better connectivity, the availability of high-quality staff, and much lower costs are changing sourcing markets and expanding sourcing possibilities for organizations.

The most established approach to outsourcing is:

As ________ has developed, contracts have become more flexible and outsourcers have come to be viewed increasingly as partners who can add other forms of value rather than simply reducing cost.

While routine activities are often outsourced and should be looked at holistically, outsourcing is still an ad hoc process and is based on current needs.

While outsourcing in general reduces an organization's control over how its services are delivered, offshore sourcing can greatly increase these risks because the vendors operate in substantially different business environments.

While strategic sourcing is more of a recent trend, companies have lots of experience doing it.

The main driver of strategic impact outsourcing is:

Eighty-five percent of all offshore outsourcing work currently goes to which country?

IT outsourcing decisions reflect a significant shift in business strategy from diversification to a focus on core competencies.

List and describe (3) way organizations can mitigate the risk associated with outsourcing.

The most important element of successful sourcing is a complete understanding of:

Does any one outsourcing approach preclude any other outsourcing approach?

Originally, outsourcing decisions were driven largely by ________.

Outsourcing is not widely accepted as part of doing business.

IT outsourcing is:

Most organizations use outsourcing as a tool for achieving an organization's strategic objectives as well as driving costs down and adding capacity.

When considering the outsourcing proposition, organizations need to articulate a sourcing strategy which balances internal versus external capabilities.

Careful selection of what to outsource and what to retain in-house is a more effective approach than total outsourcing.

The pace of daily life, employees' relationship to authority, attitudes to security, and adherence to socialist principles can be considered risks of offshore sourcing.