Hey ho lets go last chapter!
Insourcing (in-house-development) - is a common approach using the professional expertise within an organization to develop and maintain the organization's information technology systems.
Outsourcing - is an arrangement by which one organization provides a service or services for another organization that chooses not to perform them in-house.
Onshore outsourcing - is engaging another company within the same country for services.
Nearshore outsourcing - is contracting an outsourcing arrangement with a company in a nearby country.
Offshore outsourcing - is using organizations from developing countries to write code and develop systems.
Contract length - Most of the outsourced IT contracts are for a relatively long time period.
Long period causes :
- difficulties in getting out of a contract
- problems in foreseeing future needs
- problems in reforming an internal IT department after the contract is finished