We feel that this misconception arises from the fact that many institutions are outsourcing some technology services - especially student telephone services. This kind of outsourcing is presently being done at large and small institutions, both public and private. Most of our clients believe that technology is too vital and too strategic to relinquish control to a third party. However, many of our clients do outsource some technology services. When technology is outsourced, there are numerous changes which must take place.
Control is lost, at least to some degree.
On the other hand, outsourcers are in the business to make a profit. Recurring expenses may go down if the outsourcer provides more efficient service. Overall long term costs generally favor a prudent balance of outsourcing and in-house management and vary from institution to institution. Quality may suffer. Institutional knowledge is lost for outsourced functions.