MIS 3534-001 – Prof. Min-Seok Pang

Day 09 – Strategic IT Outsourcing (I)

Day 9 – Strategic IT Outsourcing (I) – online discussion questions

  • Why is Google operating its own cafeterias with full-time chefs and cooks for its all employees, instead of outsourcing to external caterers?
  • Why is it more difficult to control an external vendor than to control your own employees?
  • Why is there a “non-disclosure agreement” in any contract?
  • Any examples of “conflicts of interests” and “information asymmetry” between a client and a vendor (except the examples that were discussed in class)?
  • What kind of “homework” or research would be needed in selecting an IT outsourcing vendor?

Day 9 – Strategic IT Outsourcing (I) – in-class discussion questions

  • Do you fix your car by yourself or have a mechanic do maintenance? Why?
  • How do you choose your mechanic? Based on what? How often do you change your mechanic?
  • Why do you think Google operates  its own cafeterias for its entire employees, instead of outsourcing them to external caterers?
  • Why would a company outsource IT operation and development to an external vendor? What would be the benefits to a client from IT outsourcing?
  • What would be the reasons that Otis DID NOT outsource the development of e*Logistics?
  • What’s a doctor-patient confidentiality? Why is this needed?
  • Why did IVK select NetiFects for the IR project vendor? When selecting NetiFects, did IVK do enough homework?
  • Do you think if your mechanic, contractor, or doctor is competent, trustworthy, and reliable? When you meet them for a service, do you think if they make as the best efforts as possible for you?
  • Why should the IT group at IVK be involved in the IR project?
  • Why is Mr. Barton trying to hire Mr. Ash Srinivasa, a NetiFects engineer who’s been working for the IR project

We will discuss these questions in-class next Monday. Do not leave a comment on this post.

IT Adventures Ch. 7 and 14 – brief guidelines

Chapter 7

  • Why is the Infrastructure Replacement (IR) project failing?

Chapter 14

  • What are the differences between three prospective vendors for the IR project?
  • What are the differences between two contracting models that IVK is considering?

Your report does not need to include

  • “Wednesday, April 28, 10:12 a.m.” (p. 107-109),
  • the consultant’s report (p. 120-122),
  • “the third major disagreement” (p. 226-228),
  • “Monday, October 1, 11:00 a.m.” (p. 228-231), and
  • vendor assessment matrices (p. 233).

But please DO NOT SKIP to read them.