Chapter 1. Why do Organisations Consider IT Outsourcing?

IT outsourcing can provide many benefits for your organisation, including cost savings and improved services.

If you outsource your IT to a third party (e.g. by outsourcing your payroll systems, certain IT functions or your whole IT department), the arrangement between you will take the form of a legally enforceable contract (which will include a service level agreement). The IT outsourcing contract is the umbilical cord between you and your IT supplier in respect of your IT system requirements.

Therefore, it is vital that your IT outsourcing contract is drafted properly, so that it caters for all of your requirements. This is because you – as the customer – are likely to become heavily dependent ...

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