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Gartner says IT must oursource by 2010

By jmgarvin ·
So Gartner Group, the folks that brought you the Y2K scare, say that by 2010 you must oursource or your will die.

Here is a summary:
http://www.theregister.co.uk/2005/05/27/_gartner_outsourcing/

What do you think?

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Cost of doing Business

by CG IT In reply to Gartner says IT must ours ...

Gartner is basically saying that companies can not afford to employ knowledgeable computer tech support personnel and if they want to be competitive, they need to move their tech support help to outsourcing so that the minimum wage earner can try and solve computer tech problems by reading off of a piece of paper put together by the knowledgable tech support guys.

I dunno about anyone else, but consumers would rather call their friends, talk to their pet dog, anyone but the help desk or tech support people of the companies they bought their products and software from.

Maybe if companies offered a decent salary to tech support guys who know what they are doing, but not a salary that will break the bank like during the Dot Com boom, customer service, product service, and tech support wouldn't have to be outsourced.

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What is Gartner

by silvioandpauly In reply to Cost of doing Business

I always hear about Gartner - just what are they and what do they do??

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by The Admiral In reply to Gartner says IT must ours ...

Garner also said that there was going to be a 75% increase in storage marketshare in 2000. It turned out to be only 5%.

So depending on how hard up a company is, they will follow the drum and go bankrupt. Or they can do what Extreme Networks did and cancel their outsourcing agreement and bring their call center back to the US and is happy about doing so.

I think Gartner Group needs to be outsourced, since most if not all of their information is flawed.

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They seem to just

by Tony Hopkinson In reply to

parrot what certain vendors want in market speak. Why don't they look at the real cost of outsourcing instead of just looking at manning ? We'd all be better off if the just STFU. As soon as you get into a competive market the only way you can distinguish yourself from your competitors is with good customer service, not cheap. I'll pay for good customer service, course I'm still waiting to see it in mainstream IT. If the main vendors performance on this front is anything to go by, I'll be waiting a lot longer as well.

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by The Admiral In reply to They seem to just

Not too late to trim and color your beard Rumplestilskin.

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Who runs Gartner?

by kevaburg In reply to

It seems to me that this company called Gartner has a lot of work to do. Out-sourcing for alot of companies is a good idea for the long term, but short-term statistics form the basis of long-term predictions for these guys.

The people that run Gartner are the people whose votes count. What needs to happen is for someone to provide real-time numbers for real-time problems and then to collate them in a manner that normal people can understand.

Maybe Gartner does need to be outsourced, but most of all their ideas do!!!!

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I love outsourcing, until I have to pay for it.

by HwyMan In reply to

I run a small IT department for a company of 75 -100.

We outsource our CISCO maintenance and programming for customizing our software. For every instance over 23 years of IT experience I have never seen outsourcing that was financially beneficial to anyone but the vendor.

It always costs much more, and is usually the first thing to get cut when companies scale back their costs. I have seen companies save millions bringing call centers back in house, and much more by hiring a single employee to avoid 184 dollar per hour contract costs of outsourcing, not to mention paying for travel expenses.

There may be exceptions when outsourcing is cheaper, but it is the exception and not the rule.

just my thoughts...

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outsource and offshoring are not the same

by ITConsultant818 In reply to Gartner says IT must ours ...

I agree that Gartner is known for exagerating, but i dont think outsourcing is bad. Offshoring, yes, I think is bad for the USA worker-- good for china and india, but bad for us. Outsourcing on the other hand, if its outsourced to more efficient american companies who can provide the service more cheaply than a bloated it dept, can be a good thing. it can force the lazy IT dept network administrator to stop surfin the web and blogs all day and start justifying his job.

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Outsource based on function

by Dilbert-Tom In reply to outsource and offshoring ...

There are some functions that might be best outsourced, for example Payroll (which has sensitive data about workers, which is best processed offsite - and requires frequent 'generic' updates, such as tax changes, which can be more efficient for a specialized service company to provide).
Core business software, however, should be maintained by a staff that will specialize in the customization of a businesses software to provide competitive advantage - the key is to develop business knowledge in the technical staff, so that they can relate to the requirements most effectively.

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Cogently put

by Tony Hopkinson In reply to Outsource based on functi ...

Outsourcing in itself isn't a bad thing. Payroll is a good example. What went wrong was people looked at outsourcing in terms of the manning reduction, and promptly realised that this could easily be applied with much more 'benefit' to more signifcant aspects of the business.

To my mind only a complete half wit would sell off the core skills in their business, it cost's a lot to buy them back and you can't operate without them.

Any set of established IT (or any other, even management) personnel is more valuable in the place that they are. The skill set is at most fifty percent of their value, in most cases in house knowledge is a much greater productivity gain.

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