bo 31 Risk in Offshore IT Outsourcing Contracts: Or Buying Promises
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Author Topic: 31 Risk in Offshore IT Outsourcing Contracts: Or Buying Promises  (Read 1387 times)

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Offline Perfect

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No matter how much due diligence you try, to make a decision on contracting with a land or offshore IT services provider is very similar to buying promises. To some extent, will have to trust your partner selected to be committed to provide your company with high quality services they have promised. His lawyers probably will not agree, but offshore contracts are only worth the integrity of the company they are contracting with. Dun & Bradstreet does not include this indicator (integrity) in the company profiles and still is a credit report is. One of my partners in Brazil, I often said "Henry is very motivated by this opportunity," but did not understand the value of that declaration until we reached the trenches together.

Here are some of the promises is accepted or questions you may have doubts about the time of signing that the increase in offshore IT staff or support contract:

1. You really get the hours I'm paying?
2. It's my intellectual property and information is secure?
3. Am I really going to rely on qualified professionals?
4. Will they continue billing rates increase after training the new team in my business?
5. "I can get to this provider when I need immediate help?
6. Will this seller with me when things get tough?
7. Is this a stable country politically, socially and economically?
8. If exchange rates is a problem?
9. Is this a safe country for business?
10. Is the location of the seller in a safe part of town?
11. What is the cost of business travel to this place?
12. What is the cost for offshore professionals from there travel to the Africa?
13. Professionals can in this place get our country passport and visa for visits?
14. If my country people in this country legally binding contracts?
15. How long does it take to get a visa and passport for team members to travel for training and guidance in place to my place?
16. What is the cost of visas and passports for your offshore team?
17. Does the team have offshore full time someone with experience in managing offshore projects?
18. Is this a stable, ie, good credit and strong experienced management?
19. Does this manufacturer of interpersonal skills to work with my company?
20. "This provider has offshore executive management who speak English and meet and share their booth emergency?
21. Are managing this service provider and executive management team will be available in your time zone day short-term work when needed?
22. Does this provider grow with your business needs?
23. Do you have commercial liability insurance, errors and omissions insurance?
24. Can you buy commercial liability insurance in your country?
25. Will you work in your workday time zone?
26. "This company has a secure network infrastructure?
27. Is your network infrastructure professional design and firewall?
28. Is it safe physical installation?
29. If extreme weather conditions a factor affecting travel, personal safety or working hours in this country?
30. "This raises the risk of natural disaster for your business?
31. Is this seller will be flexible as your needs change?

No matter how much time you spend money on developing a tight clam contract with offshore outsourcing provider that does not take account of international litigation and international arbitration for contractual disputes. Unless your needs are well defined and static, I've never seen, the requirements better be very general in the contract or which need review and changes before the ink dries.

In any offshore project to establish good relationships are the key to clear communication.


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