Outsourcing Risk
Outsourcing Risk
Abstract
Outsourcing can be expensive and have multiple risks; however, in this paper I will identify the possible risks to an organization in each of the following outsourcing situations: ▪ External service provider for data storage ▪ Enterprise service provider for processing information systems applications such as a payroll, human resources, or sales order taking ▪ Use of a vendor to support your desktop computers ▪ Use of a vendor to provide network support.
Also, in this paper, I will elaborate on a risk mitigation strategy. Outsourcing has risks and the information security team should ensure that the disaster recovery requirements of the outsourcing contract are sufficient and have been met before the signing of a contract for the consequences can be disagreeable. Finally, I will mention two major issues of concern for the organization are time and money for the outsourcing project.
Outsourcing Risk
Developing new information systems is a requirement for all facilities that must undergo, in order to compete with global companies. A Project risk management process is a significant approach for the identification, analysis, and the development of strategies, for responding to project risk - proficiently and successfully. There are certain significant goals for the risk management process to achieve that are 1. To provide information to monitor 2. Evaluate 3. Respond 4. Plan how to address multiple risks. Sharing responsibilities in an organization is emerging to maximize the technological advances in communication. Information systems and network integration is vastly becoming complicated for organizations to choose the cost factor of outsourcing unless management prepares to enable safe practices for any risk that may arise. The one major risk organizations are encountering is the challenge to outsource information for the facility. The concerns
Abstract
Outsourcing can be expensive and have multiple risks; however, in this paper I will identify the possible risks to an organization in each of the following outsourcing situations: ▪ External service provider for data storage ▪ Enterprise service provider for processing information systems applications such as a payroll, human resources, or sales order taking ▪ Use of a vendor to support your desktop computers ▪ Use of a vendor to provide network support.
Also, in this paper, I will elaborate on a risk mitigation strategy. Outsourcing has risks and the information security team should ensure that the disaster recovery requirements of the outsourcing contract are sufficient and have been met before the signing of a contract for the consequences can be disagreeable. Finally, I will mention two major issues of concern for the organization are time and money for the outsourcing project.
Outsourcing Risk
Developing new information systems is a requirement for all facilities that must undergo, in order to compete with global companies. A Project risk management process is a significant approach for the identification, analysis, and the development of strategies, for responding to project risk - proficiently and successfully. There are certain significant goals for the risk management process to achieve that are 1. To provide information to monitor 2. Evaluate 3. Respond 4. Plan how to address multiple risks. Sharing responsibilities in an organization is emerging to maximize the technological advances in communication. Information systems and network integration is vastly becoming complicated for organizations to choose the cost factor of outsourcing unless management prepares to enable safe practices for any risk that may arise. The one major risk organizations are encountering is the challenge to outsource information for the facility. The concerns
References: Cooper, D., Grey, S., Geoffrey, R. (2005). Project Risk Management Guidelines (2nd ed.). Hoboken, N.J.: Wiley & Sons. Whitman, M., Mattford, H., (2005). Principals of Information Systems. (2nd ed).