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Chapter 5 Strategies For Successful Outsourcing

The document outlines strategies for successful outsourcing. It discusses developing a clear outsourcing strategy aligned with organizational goals, building an effective governance model, creating a detailed project plan, identifying and mitigating risks, establishing communication protocols, managing cultural barriers, impacts on employees, continuously monitoring performance, building trust, and having a clear contract.

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Syrill Cayetano
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40 views11 pages

Chapter 5 Strategies For Successful Outsourcing

The document outlines strategies for successful outsourcing. It discusses developing a clear outsourcing strategy aligned with organizational goals, building an effective governance model, creating a detailed project plan, identifying and mitigating risks, establishing communication protocols, managing cultural barriers, impacts on employees, continuously monitoring performance, building trust, and having a clear contract.

Uploaded by

Syrill Cayetano
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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STRAT E G I E S F O R

C E S SF U L O U T S O U R C IN G
SUC CHAPTER 5
DEVELOPING A CLEAR AND WELL-DEFINED
OUTSOURCING STRATEGY THAT ALIGNS WITH THE
ORGANIZATION'S OVERALL GOALS AND OBJECTIVES
1. IDENTIFY GOALS AND OBJECTIVES
2. ASSESS CURRENT STATE
3. IDENTIFY POTENTIAL PARTNERS
4. DEVELOP A PLAN OF ACTION
5. COMMUNICATE AND ALIGN
6. MONITOR AND EVALUATE
BUILDING A GOVERNANCE MODEL FOR OUTSOURCING

1. DEFINE ROLES AND RESPONSIBILITIES


2. ESTABLISH DECISION-MAKING PROCESSES
3. DEVELOP COMMUNICATION PROTOCOLS
4. IMPLEMENT A PERFORMANCE MANAGEMENT SYSTEM
5. IMPLEMENT A RISK MANAGEMENT SYSTEM
DEVELOPING A DETAILED PROJECT PLAN AND
IMPLEMENTATION STRATEGY FOR
OUTSOURCING
1. DEFINE PROJECT SCOPE
2. DEVELOP A PROJECT PLAN
3. IDENTIFY TRANSITION TEAM
4. DEVELOP A KNOWLEDGE TRANSFER PLAN
5. IMPLEMENT A CHANGE MANAGEMENT PLAN
6. IMPLEMENT A PERFORMANCE MANAGEMENT SYSTEM
IDENTIFYING KEY SUCCESS FACTORS AND POTENTIAL
RISKS, AND IMPLEMENTING MITIGATION STRATEGIES
1. IDENTIFY KEY SUCCESS FACTORS
2. IDENTIFY POTENTIAL RISKS
3. DEVELOP RISK MITIGATION STRATEGIES
4. IMPLEMENT A PERFORMANCE MANAGEMENT SYSTEM
5. IMPLEMENT A CONTINUOUS IMPROVEMENT PROCESS
6. IMPLEMENT A COMPLAINT AND FEEDBACK MANAGEMENT SYSTEM
ESTABLISHING EFFECTIVE COMMUNICATION CHANNELS AND
PROTOCOLS BETWEEN THE ORGANIZATION AND THE OUTSOURCING
PARTNER, AND ENSURING REGULAR AND TIMELY COMMUNICATION
1. DEVELOP A COMMUNICATION PLAN
2. IDENTIFY KEY STAKEHOLDERS
3. ESTABLISH REGULAR COMMUNICATION
4. IMPLEMENT A FEEDBACK AND COMPLAINT MANAGEMENT SYSTEM
5. COMMUNICATE EFFECTIVELY
6. MONITOR COMMUNICATION
MANAGING THE CULTURAL AND LANGUAGE BARRIERS
IN AN OUTSOURCING RELATIONSHIP
1. CONDUCT CULTURAL TRAINING
2. USE A COMMON LANGUAGE
3. DEVELOP A COMMUNICATION PLAN
4. ESTABLISH REGULAR COMMUNICATION
5. CONSIDER USING A THIRD-PARTY TRANSLATOR
6. BE OPEN TO CULTURAL DIFFERENCES
MANAGING THE IMPACT OF AN OUTSOURCING
RELATIONSHIP ON EMPLOYEES AND STAKEHOLDERS
1. COMMUNICATE OPENLY AND TRANSPARENTLY
2. INVOLVE EMPLOYEES IN THE PROCESS
3. PROVIDE SUPPORT AND TRAINING
4. ADDRESS CONCERNS AND COMPLAINTS
5. CONSIDER RETRAINING AND REDEPLOYMENT
6. CONTINUOUSLY MONITOR AND EVALUATE
CONTINUOUSLY MONITORING AND MEASURING THE
PERFORMANCE OF THE OUTSOURCING RELATIONSHIP
AND MAKING ADJUSTMENTS AS NECESSARY
1. ESTABLISH PERFORMANCE METRICS
2. MONITOR PERFORMANCE REGULARLY
3. USE DATA AND ANALYTICS
4. COMMUNICATE WITH THE OUTSOURCING PARTNER
5. CONTINUOUSLY REVIEW AND UPDATE
6. ESTABLISH A PROCESS FOR REGULAR PERFORMANCE EVALUATIONS
BUILDING AND MAINTAINING TRUST AND TRANSPARENCY
BETWEEN THE ORGANIZATION AND THE OUTSOURCING
PARTNER
1. COMMUNICATE OPENLY AND TRANSPARENTLY
2. SET CLEAR EXPECTATIONS
3. BUILD A PARTNERSHIP
4. ESTABLISH A GOVERNANCE MODEL
5. RESOLVE CONFLICTS AND ISSUES QUICKLY
6. CONTINUOUSLY MONITOR AND EVALUATE THE RELATIONSHIP
HAVING A CLEAR CONTRACT AND SERVICE LEVEL AGREEMENTS (SLA) THAT
OUTLINES THE SCOPE OF WORK, TIMELINES, DELIVERABLES, AND ALL OTHER
ASPECTS OF THE OUTSOURCING ENGAGEMENT.
SOME KEY ELEMENTS THAT SHOULD BE INCLUDED IN A CONTRACT AND SLA INCLUDE:
1. SCOPE OF WORK
2. TIMELINES
3. DELIVERABLES
4. PAYMENT TERMS
5. INTELLECTUAL PROPERTY RIGHTS
6. SERVICE LEVEL AGREEMENTS (SLAS)
7. DISPUTE RESOLUTION
8. TERMINATION

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