5) outsource whatever possible and 7) do as much self service as possible are opposite mentalities and will not work together.

5) says to give as much as possible to contractors, but in 7) you are telling users to do it yourself. If the users have to do it themselves, why shouldn't the in-house IT dept. do it themselves? What is good for the goose is good for the gander!

And if the users are doing more themselves, who is going to help them, the contractors? (And they will need help! Don't kid yourself.) Are you going to have every individual user call the contractor for assistance? Yeah, those billable hours will be through the roof! You will be spending so much money, the next money saving tip will be in-house IT! And if the users have to wait for a contractor to help them, as opposed to the in house IT staff, lots of valuable time will also be lost.

It seems to me that these two tips are so opposite in spirit and in application, they shouldn't be in the same list. The more of one you have, the less of the other you can afford. Do you just want to do away with the IT dept?