What You Need To Do To Improve Outsourcing in Your Operation


    ESI International, which provides project management and contract negotiation and management training, just released results from a survey on outsourcing and discovered — surprise! — that those involved in outsourcing work need more training.

    OK, cheap shot. The fact is that respondents cited the top reasons for failures in project-based service contract as:

    • Unclear requirements (53%)
    • Unclear scope of work (53%)
    • Inadequate planning (41%)
    • Poor vendor selection (34%)

    The same reasons popped up in non-project-based service contracts, but with slightly different percentages:

    • Unclear scope of work (44%)
    • Unclear requirements (43%)
    • Poor vendor selection (43%)
    • Inadequate planning (39%)

    What I found especially useful in the survey results was a listing of ways respondents thought outsourcing results could be improved in their organizations. I believe these were written in rather than suggested by the survey authors.

    1. Project management and training
    2. Standard vendor processes
    3. Vendor selection
    4. Performance monitoring/governance
    5. Requirements definition/management
    6. Human resource management
    7. Upfront business analysis & planning
    8. Specific statement of work
    9. Contract terms (pricing, schedule, etc.)
    10. Internal training & skills

    You can learn more about ESI’s training courses here. I couldn’t find survey results online at the time of this writing.


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