Nobody downloaded yet

Advantages and Disadvantages of Information Systems Outsourcing: Risks and Benefits - Research Paper Example

Comments (0) Cite this document
Summary
This paper presents a detailed analysis of the idea of “outsourcing”. This paper will discuss the outsourcing working paradigm and its use for the information systems. This research provides discussion on impacts of the outsourcing the information systems on organization’s performance…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER91.6% of users find it useful
Advantages and Disadvantages of Information Systems Outsourcing: Risks and Benefits
Read TextPreview

Extract of sample "Advantages and Disadvantages of Information Systems Outsourcing: Risks and Benefits"

Download file to see previous pages According to, if an organization does not make use of its internal resources to deal with or manage information systems, it can hire an outside company that specializes in offering these facilities or services to perform the tasks. “The process of turning over a corporation’s information systems, telecommunications networks, or application development to outside companies is acknowledged as outsourcing”. A widespread process for decreasing the software development time is to subcontract an action. The subcontractor may have access to modern and up-to-date technology or knowledge that will augment speed of the accomplishment of the action. For instance, signing a contract for a backhoe can complete in two hours what it can take a group of labours two days to do. In the same way, by appointing a consulting firm that is expert in ADSI programming, an organization may be capable to cut in half the time it would take for fewer knowledgeable, in-house programmers to carry out the task. Subcontracting also frees up resources that can be assigned to a most important action and will preferably effect in less project duration. Various corporations sign up an agreement with an external consulting company that specializes in information systems development to conquest few or the entire of its development processes. For instance, American Express took services of IBM for approximately 4 billion dollars over 7 years to run its web-based system, data storage, network servers, and help-desk related activities. In addition, the contract also moved more than 2,000 American express staff members to IBM’s Global Services division. ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(Advantages and Disadvantages of Information Systems Outsourcing: Risks Research Paper, n.d.)
Advantages and Disadvantages of Information Systems Outsourcing: Risks Research Paper. Retrieved from https://studentshare.org/information-technology/1734981-outsourcing-information-systems
(Advantages and Disadvantages of Information Systems Outsourcing: Risks Research Paper)
Advantages and Disadvantages of Information Systems Outsourcing: Risks Research Paper. https://studentshare.org/information-technology/1734981-outsourcing-information-systems.
“Advantages and Disadvantages of Information Systems Outsourcing: Risks Research Paper”, n.d. https://studentshare.org/information-technology/1734981-outsourcing-information-systems.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Advantages and Disadvantages of Information Systems Outsourcing: Risks and Benefits

Advantages and disadvantages of outsourcing

...?Advantages and Disadvantages of Outsourcing Table of Contents Introduction 3 2.Growing Importance of Outsourcing 4 3.Influence of Outsourcing 6 4.Benefits of Outsourcing 9 5.Risk and Disadvantages of Outsourcing 11 6.Conclusion 13 Reference 14 1. Introduction Outsourcing has become a major business in today’s world. Most of the big companies outsource their work which is not their core operation. To understand outsourcing one has to know what does outsourcing means. Outsourcing can be...
9 Pages(2250 words)Essay

Outsourcing: reasons, advantages and disadvantages

.... This form of outsourcing ensures that the subject businesses do not need to develop specialised talent pools and do not need to invest in these support operations. This amounts to huge cost savings in the longer run for the business pursuing outsourcing. (Intertek Australia, 2011) Advantages and Disadvantages of Outsourcing Outsourcing has been increasingly steadily globally and the future seems to boost outsourcing operations all the more. There have been various advantages and disadvantages offered by outsourcing for the overall global socio-economic scenario. On the...
6 Pages(1500 words)Essay

Benefits of outsourcing outweigh disadvantages

.... There is an additional pressure on security systems for information as the data that is outsourced need a higher level of encryption (Herath and Kishore 2011). The challenges and disadvantages for outsourcing and offshore outsourcing include strategic decision challenges, challenges in vendor selection and its management, and technology related challenges. Another inherent risk in outsourcing is that the firm forgoes the development of knowledge base on its part. The innovative capability of the firm is on a larger note, dependent on the cumulative knowledge which is built up over on the strong base of...
11 Pages(2750 words)Essay

Is there evidence to support that the benefits of outsourcing and/or off-shore outsourcing outweigh the disadvantages

...? Is there evidence to support that the benefits of outsourcing and/or off-shore outsourcing outweigh the disadvantages Globalization and complexities in the trade relations have urged multinational companies to outsource their services to other countries where the cost incurred for development of the processes is far below the profit margins. Outsourcing and offshore outsourcing have increased to great extents but it has been also found out that there are certain risks and negative externalities attached with outsourcing. The paper through discussion of the benefits and...
11 Pages(2750 words)Essay

Outsourcing: risks and benefits

...having to pay for such massive expansion. The other benefit as discussed above is rapid expansion of the brand-name throughout the world. Like the way McDonald's, KFC and Pizza Hut grew. The other fringe benefit of outsourcing is that it earns profits for the original company. For e.g. McDonald's charges very high fees to firm willing to use its brand name. Similarly it helps McDonald's to earn very high revenues. Another benefit from this is that the original firm usually do not have to pay for advertising of the firm's product. The responsibility of advertising the product to the different part of the world remains to the company obtaining the...
2 Pages(500 words)Essay

Advantages & Disadvantages of JavaScript

...and your system remains secured. (Freeman, 2012, p. 290) Conclusion: It can be concluded from the above situations that all in all JavaScript has some advantages asa well as disadvantages. Security issue is the main disadvantage that is offered by JavaScript while its main advantage is the high speed accessibility. Privacy is the burning issue that has to be taken care of therefore JavaScript is disabled. . Although, there are many sites that would restrict their execution if JavaScript is disabled, but your system will become faster with respect to performance but no significant loss in business is observed References Daggett, M....
2 Pages(500 words)Essay

Advantages & Disadvantages of Monsters

... humans to suffer. Their disadvantages in people’s lives are reputations preceding them. For example, the article asserts that these monsters cause insanity among other forms of misery. An evaluation of the abovementioned opinions that are considered as representative of several other positions, one might observe that most individuals do not still understand this kind of monster. Actually, several atheists might not perceive the actuality that spiritual monsters, also known as demons, are real. Thus, the perfect evaluation for the disadvantages and advantages of this kind of monsters can merely be advanced through the religious prism. Christianity indicates that there is no good thing that demons are able to bring into the life... down on...
4 Pages(1000 words)Essay

Advantages and disadvantages of outsourcing in IT Project Management

...into their systems knowing too well that they might leak the company secrets is just way too much. Conclusion More companies are increasingly relying on information technology (IT) to carry out their daily operations. For example, in business, IT is used to access large market research databases to hunt for customers by using the Internet as their platform. With the rapidly growing technology, the cost of IT maintenance and development has exploded. That is why organization have understandably taken to third parties to assist them in their management. In outsourcing of personnel, the organization benefits from being independent of the functional structure that is...
9 Pages(2250 words)Research Paper

The Advantages and Disadvantages of Outsourcing

...), Transitional (technology migrations), Business Process Outsourcing (hotlines, helpdesk, call centres, document/record processing, etc.) and Business Benefit Contracting (vendors contribution to the client’s business – like closing deals). Outsourcing scope can be extended to single vendor, divided among multiple vendors or else carried out in hybrid mode (partly insourced). This paper critically examines the answer to the following question: What are the importance of Information Systems outsourcing, the best management practices in outsourcing decision, transition & management and the practical challenges in realizing...
15 Pages(3750 words)Literature review

The Benefits of Strategic Information Systems

..., allowing for the creation of large ‘virtual corporations’ (Sadagopan, 2003). In addition to automation there are also many other ways through which information systems can be used in order to reduce costs. Online retailers like Amazon.com have a definite advantage over ‘bricks and mortar’ retailers because they can offer any number of items for sale on their website and are not confined by the limitations of shelf space. In real life shops on the other hand, a substantial increase in inventory may require a move to larger premises. At Amazon.com users have the choice of selecting from over 2 million books whereas conventional bookstores only offer around 40,000 books on average (Clegg,...
10 Pages(2500 words)Coursework
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Research Paper on topic Advantages and Disadvantages of Information Systems Outsourcing: Risks and Benefits for FREE!

Contact Us