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Article: E-sourcing: Information Technology on demand: Utility computing marks a new stage in the evolution of outsourcing, and may be the first to fully deliver on the strategy's true potential. (CEO Perspectives).
- Article from:
- Chief Executive (U.S.)
- Article date:
- February 1, 2002
CopyrightCOPYRIGHT 2002 Chief Executive Magazine. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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The business objective behind the concept of outsourcing has always been a fundamentally sound one: handing off responsibility for non-core functions to a third-party provider, thus freeing up capital and human resources that can be redirected to more strategic uses. In theory, the strategy is supposed to result in improved quality and efficiency in both the outsourced support functions and the in-house strategic ones, along with a net cost savings. In practice, results may not meet expectations. Customer demands increase, as well as the need for greater speed and cost efficiency to remain competitive. In the area of information technology, however, that may be about to ...