Facts from The Outsourcing Institute's Annual Survey of Outsourcing End Users:

Top 10 Reasons Companies Outsource:

1. Reduce and control operating costs;
2. Improve company focus;
3. Gain access to world-class capabilities;
4. Free internal resources for other purposes;
5. Resources are not available internally;
6. Accelerate reengineering benefits;
7. Function difficult to manage/out of control;
8. Make capital funds available;
9. Share risks;
10. Cash infusion.

Source: Survey of Current and Potential Outsourcing End-Users, The Outsourcing Institute Membership, 1998

Top 10 Factors in Vendor Selection:

1. Commitment to quality;
2. Price;
3. References/reputation;
4. Flexible contract terms;
5. Scope of resources;
6. Additional value-added capability;
7. Cultural match;
8. Existing relationship;
9. Location;
10. Other.

Source: Survey of Current and Potential Outsourcing End-Users, The Outsourcing Institute Membership, 1998

Top 10 Factors for Successful Outsourcing

1. Understanding company goals and objectives;
2. A strategic vision and plan;
3. Selecting the right vendor;
4. Ongoing management of the relationships;
5. A properly structured contract;
6. Open communication with affected individual/groups;
7. Senior executive support and involvement;
8. Careful attention to personnel issues;
9. Near term financial justification;
10. Use of outside expertise.

Source: Survey of Current and Potential Outsourcing End-Users, The Outsourcing Institute Membership, 1998

Want to know more about why you should consider outsourcing? Read "Why You Should Outsource" by Richard Fassione Outsource Information Technology Corp.