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Threat of tangle with outsourced IT
At first glance, it seems like a great idea: you are strapped for time and so you get someone else to do your work for you and possibly at a fraction of the cost. No wonder many recession-hit companies are thinking about outsourcing, especially when it comes to complex IT services. Analysts predict that the global outsourcing market is set to grow by more than 8 per cent this year as businesses look to save money on IT expenditure.
Yet two reports just published suggest that this could be a costly mistake. Companies are likely to emerge from the recession lacking in innovation and locked into cheap-and-not-so-cheerful contracts that are expensive to renegotiate or cancel.
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