eGov Monitor reports:
Outsourcing is good and delivers economies of scale however the process is a major commitment and a path filled with risks, according to a latest briefing from Scotim Insight.
The “Costs of Outsourcing – uncovering the real risks” presents a detailed analysis of the outsourcing process and the risks it brings to local authorities.
According to the document, the risks begin at the tender stage. The supplier is well versed in contract negotiations on outsourcing while a smaller local authority is rarely going to be in that position. So, the briefing suggests that councils seek professional advice around framing and negotiating a contract.
It also urges councils not to put all their eggs in one basket. Rather than transferring all ICT operations as a bundle to one supplier, it is best to break them into components and go to market individually…..
Meanwhile the Chief Executive of Suffolk council is on extended leave, reports the Guardian, after her promotion of an outsourcing of services agenda hits difficulties: http://www.guardian.co.uk/society/2011/may/05/suffolk-county-council-andrea-hill?CMP=twt_iph