Report slams outsourcers charges but reveals improvement

Just over a year ago I wrote an article about some research carried out by automation software supplier Lieberman Software.

The survey of 250 IT professionals this year has the headline figure of 64% of respondents believing outsourcers invent work to get more profit. This is an improvement from a similar survey carried out by Lieberman of 500 IT professionals last year, which revealed that 77% believed outsourcers invent work.

Another criticism, but again an improvement on last year, is the fact that the survey revealed that 42% of respondents claimed that outsourcing contracts cost more than expected. Not good but better than last year’s survey, which revealed that 62% of respondents said that contracts cost more than planned.

And outsourcing is growing despite discontent. This year’s survey revealed that 71% of companies outsource a significant portion of their IT, compared up from 43% of respondents in a similar survey last year.

This year’s survey results:

Have your IT outsourcing agreements cost you?

Less than originally planned: 9%
About as much as originally planned: 49%
More than originally planned:: 26%
Significantly more than originally planned: 16%

Thinking only about your IT outsourcer agreements, have you ever felt that the outsourcer made up more work to earn extra money from your organisation?

No: 36%
Yes: 64%

Do you trust the quality of the work performed by your IT outsourcers:

Less than work by in-house staff: 33%
About the same as work by in-house staff: 52%
More than work by in-house staff: 15%

See last year’s survey in full.

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