This is because consultants have to pay market driven salaries to their knowledge workers in order to complete the conditions of any outsourcing contracts. With the advent of increasingly fast telecommunications, it matters less and less where the knowledge workers are physically located. The breadth and depth of knowledge in this rapidly changing field has become impossible to maintain for most government agencies. Like so many concepts advocating change, they must be examined closely and should not be taken at face value. The Vermont Information Strategy Plan from which the ANR-ISP was initially developed is in many respects founded in these ideas.
Enterprises outsource a wide range of business areas.
Only new area in which the enterprise lacks expertise and must get systems developed in a hurry to improve a competitive position or meet a new mandate. All shades and combinations in between. An enterprise should do some serious soul searching before undertaking an outsourcing agreement. There are good reasons and there are bad reasons for outsourcing. The following list makes no judgement one way or the other.