64% of IT Professionals think Outsourcers Invent Work for Money

A recent survey has found that 64% of IT professionals believe their IT outsourcer has invented work for profit and 33% say they trust their outsourcer’s work less than in house – showing that relationships between outsourcers and their customers have reached a real low.

To add insult to injury, 42% said that outsourcing agreements ended up costing more than originally planned. Despite these views, 71% of companies outsource a significant portion of their IT – up from 43% of respondents in a similar survey last year.

IT Contractors have often turned into Project Managers to manage outsourcing contracts or even tidy up the mess.  Outsourcing IT jobs has often been a heated talking point, especially when global outsourcing is discussed.

Even the high profile Natwest IT meltdown was maybe inevitable and maybe even partially caused by “experienced IT staff and contractors and outsourcing the work to India” according to Journalist Ian Fraser. NatWest and RBS systems have been in part 'off shored' to Chennai.

Philip Lieberman, President and CEO of Lieberman Software said, “The fact that 64% of people we spoke to think their outsourcers invent work to make more money shows just how tenuous these relationships are. On the surface, IT outsourcing may seem an ideal solution for many companies, however it often turns out to be more expensive than planned, and a third of companies admitted they trusted the work done by outsourcers less than work done in house.”

The survey questioned nearly 250 IT professionals, all of whom were partly or wholly responsible for an outsourcing function in their organizations. Lieberman Software provides privileged identity management and security management solutions.