Top 10 Factors for Successful Outsourcing.

A Dun and Bradstreet survey showed that 25% of outsourcing contract fails within 2 years and 50% fails within their first year. To reduce this number to bare minimum, one should use proper sourcing management solution and proven-methodologies.

According to Survey of Current and Potential Outsourcing End-Users, The Outsourcing Institute Membership, 1998, organizations can significantly increase their chances of success by making a note of the following 10 Factors for Successful Outsourcing:

• Understanding company goals and objectives.
• A strategic vision and plan.
• Selecting the right vendor.
• Ongoing management of the relationships.
• A properly structured contract.
• Open communication with affected individual/groups.
• Senior executive support and involvement.
• Careful attention to personal issues.
• Near term financial justification.
• Use of outside expertise.

These factors can very well be used as guidlines to sucessful outsourcing.