Issues of Information Systems Outsourcing and its Viewpoint of Evaluation

Abstract

Many organizations have come to outsource development and operation of information systems. And its aim has expanded from the contractual type of outsourcing which substitutes information processing personnel or reduces the processing cost, to the strategic type of outsourcing which copes with the change of business environment flexibly. However, information systems outsourcing contains a number of unsolved issues, such as content of vendors services, quality of information systems, change and maintenance of systems, reliability, and Security of informations. Moreover, in the strategic type of outsourcing, the effectiveness on business must be confirmed. Against these backgrounds, this paper identifies the aim of outsourcing, clarifies the current outsourcing situation, and analyses the issues of outsourcing, such as administration, relationship with vendors, and security. Also this proposes a new approach to evaluate information systems outsourcing.