IT Outsourcing project management: lessons learned to avoid mistakes

Managing IT outsourcing projects can be a complex process, but understanding and assuming the lessons learned helps avoid common mistakes and guarantees business success. This is the subject of this entry, which is aimed at commercial transactions between companies. We begin to explain it.

What is IT outsourcing project management?

Specifically, it refers to the practice of contract out specific services or functions of a company to third parties, rather than performing those tasks in-house. This strategy is used to reduce costs, increase efficiency and focus internal resources on core business activities.

Some of the key benefits of outsourcing include access to expertise and the flexibility to adapt to changes in demand. However, it also presents challenges. Such is the case of trading relationships with external suppliers and the need to maintain quality and safety. Even more so when we talk about IT services, such as the development of software or infrastructure management.

Lessons learned from managing IT outsourcing projects

In any circumstance, the method has become a crucial strategy for companies. Especially for those looking to stay agile in a non-stop technological environment. However, when it comes to outsourcing operations, the success is not automatic and requires careful planning.

Indeed, when implementing a plan, development and completion are essential, but the knowledge you gain is also essential. It all adds up to experience. We are talking about a historical background based on lessons learned whose management is crucial. Why? Because every time we launch an initiative, whether the result is a resounding success or a total failure, we will always have the opportunity to learn.

The key strategies

To achieve outsourcing of IT services, several steps must be carried out. Or rather, implement a work sequence with the main strategies derived from learning. These can be used to identify the root cause of the problem and take preventive measures to avoid it. They are the following:

ID. Before starting any outsourcing purpose, it is essential to clearly define objectives and expectations. It is necessary to establish what is to be achieved and to communicate this precisely to the service provider.

Documentation and storage. Lessons learned should be stored in a centralised location with open access for all, as a project management tooltip. It provides invaluable information, especially for managers.

Analysis. Evaluating and applying lessons learned so that others can benefit from them is particularly important. Especially if it is carried out in the middle of development. Instead, in the end, implementing what has been learned allows opportunities to be identified before the next plan is launched, ensures continuity and reduces external dependency.

Evaluation, quality control and recovery. Upon completion, it is advisable to conduct a review to assess performance and identify lessons. By doing so, areas of improvement for subsequent initiatives are determined.

How to avoid mistakes in managing IT outsourcing projects

This type of administration is a valuable tool, yes, but it can also be inconvenient if not implemented properly. Avoiding errors in the process is critical to ensuring successful outsourcing. Best practices for correcting faults and achieving effective control are detailed here. Let’s look at it point by point.

Selection of the supplier

The first step is choosing the right IT service provider. A crucial task. It is essential not to make the common mistake of making a blind selection. This requires a thorough assessment with three important considerations:

1. Experience and expertise. They must have experience in the particular industry and in the type of services required. Let’s use ourselves as an example. Pasiona is a business consultancy specialized in software development with Microsoft. One, we analyse the needs two, we design a tailor-made solution and, three, we accompany you throughout the process. From product definition to implementation and deployment. This is the only way to guarantee solutions.
2. References and reputation. It never hurts to thoroughly investigate the reviews and recommendations of the future partner. Have you had success in similar situations in the past?
3. Culture and values. Likewise, it is advisable to ensure that the culture and values of the person hired align with those of the company. In many cases, a valuable partnership also depends on cultural compatibility.

Definition of clear objectives

Not defining clear objectives is another common mistake. Before starting the plan, it is almost obligatory to establish an achievable and measurable goal. What is expected to be achieved with IT outsourcing? Setting specific goals provides a clear direction and allows to assess the ideal achievement of the work to be done.

Effective communication

Lack of effective contact, even by digital, can lead to misunderstandings and problems. Or rather, it leads to mismanagement. To solve this, the ideal is to establish clear communication channels with the supplier. Moreover, by defining roles and responsibilities, maintaining regular communication to discuss progress and resolve problems as they arise.

Service Level Agreement (SLA)

Not establishing solid service level agreements is another big mistake. It is important to remember that SLAs describe expectations and performance standards. If precisely defined, both parties have a clear understanding of responsibilities and expected results. In addition, they are committed to carrying them out together.

Risk management

Important: neglecting this issue can be very costly. It involves identifying and managing any risks from the outset. To avoid them, a contingency plan in case of unexpected problems is a great approach. Even constantly keeping track of progress and making adjustments as necessary.

In summary, managing IT outsourcing projects requires careful planning, effective communication and constant monitoring. Learning from previous lessons and preventing mistakes helps to achieve close collaboration with external service providers. Better still, it contributes to achieving business objectives.