IT Governance

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The Long-Tail Strategy for IT Outsourcing

  • Research Feature
  • Read Time: 24 min 

No longer just a cost-saving measure, IT outsourcing has emerged as an important strategic tool for acquiring cutting-edge ideas. Many companies are expanding their portfolios of IT suppliers to include smaller, highly innovative companies. But this expansion increases the complexity of managing supplier portfolios. To take full advantage of the innovations that diverse suppliers provide, organizations need to reimagine their strategies to be dynamic, diversified, and still disciplined.

Image courtesy of the US Army.

Quick Wins Help Avoid Culture Obstacles on the Path to Value

"The biggest predictor of success...has been when there's a strong business sponsor involved," says Randy Bean, co-founder of NewVantage Partners. Broad-based organizational support usually follows when the business sees how analytics will improve the top and bottom line.

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