How to Evaluate an it Outsourcing Vendor

by on February 5th, 2011
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IT Outsourcing is perceived as the area that results in maximum cost reduction for global clients leading to an increase in the overall profit. Consequently, global clients see it as a considerable challenge to choose an appropriate IT Outsourcing Vendor amongst the numerous companies offering IT Outsourcing services. Several factors such as quality of work, expertise level and reputation in the field of IT Outsourcing govern a client’s decision with regards to considering a suitable IT Outsourcing vendor.

In general, in order to evaluate an IT Outsourcing vendor, the customer must consider the below:

Infrastructure – If the service provider who is offering to provide IT Outsourcing services lacks the proper infrastructure, then it is a given that it will not make a very good IT Outsourcing vendor. Proper buildings, accessible office location and comfortable working atmosphere for the employees are mandatory attributes that the IT Outsourcing vendor must possess.

Subject Matter Experts – It is imperative to assure that the IT Outsourcing vendor holds the workforce with required skill-set to carry out the IT activities. Also, the presence of Subject Matter Experts in the area where IT Outsourcing is to be done is a must. This could mean a banking domain expert, or a health insurance domain expert; depending upon for which domain IT Outsourcing is being considered.

Resources – Resources such as computer systems, telephone lines and other hardware systems must be available with the IT Outsourcing vendor. Also, any miscellaneous systems such as switching equipment, call routing software, automatic call distributors etc., if necessitated by the IT Outsourcing, must be available within the campus of IT Outsourcing vendor.

Cost - IT Outsourcing is opted for by business in order to save cost. So, it is essential that the chosen IT Outsourcing vendor provides high quality services at an affordable cost.

Innovation and Inventions - IT Outsourcing is not just about offshoring a bunch of IT activities; it is also an invitation to the offshore counterpart to come up with innovative ideas to benefit the business. Coming up with cost-effective solutions, being able to show creativity in the field of IT Outsourcing and being able to provide an overall value add to the client is very crucial. And above all, the quality of output while providing IT Outsourcing services must not be compromised.

The clients, more often than not, prefer to pay the campus of IT Outsourcing vendor a visit in order to understand if they possess all the requisites in order to carry out the IT Outsourcing operations with ease and expertise. In some cases, interviewing the employees of the service provider throws some light about their proficiency in the area of IT Outsourcing. Going through the portfolio of the service provider and getting to know about its client base and their testimonies can help in the overall evaluation of a suitable vendor to carry out the IT Outsourcing.

About Author

Cygnet Infotech, an India based Microsoft Partner with Gold and Silver competency provides offshore software development and skilled resources to its clients in 20 countries globally. Having developed a mature global delivery model, Cygnet has also earned ISO 9001, ISO 27001 and CMMi Level III certifications. Visit

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