Following the post-implementation review step, you should now evaluate the outcomes of the project to decide your next move in outsourcing.
Whether the outsource agreement should be renewed, transferred or exited depends on how you identify the achieved outcomes.
You should answer 4 questions below:
- What was the rate of productivity improvement?
- Did the transition meet expectations?
- Were staff time and direct costs as expected?
- What would you do differently?
As mentioned, three types of decisions are normally made after this evaluation step is to renew, transfer, and exit the current outsourcing agreement.
On a regular basis, if you choose the exit option, it will be either seeking for another OSP or bringing the outsourced services back in-house, namely “back-sourcing”.
Back-sourcing can be very challenging as it requires the capacity and expertise of the in-house team, which is difficult to achieve once the services was previously outsourced.
Keep updated for the next checklist which helps your business tackle the issue when it opts to enter the “exit” door.