Fri, Sep 7, 2007 13:49 EDT

Outsourcing's Innovation Crisis  

by Stephani Overby


It's a common scenario: the IT service provider meets all its SLAs and holds to all the pricing models... but the customer still isn't happy. Something just isn't right. As one outsourcing advisor describes it, "You look at the dashboard and everything is green. But you still feel red."

What's the problem? In a word: innovation. Or lack thereof.

Many IT leaders enter into outsourcing arrangements with an expectation that the outsourcing provider will not only live up to the letter of the contract, but by virtue of being a Big Outsourcer, will bring something more to the table.

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