The other day I was working on a research paper for some of my other courses. The topic was IT Outsourcing risks. Information Technology Outsourcing is define by some writers as turning over several IT activities to external vendors (Weinert and Meyer, 2005) . Today there are two basic types of work that IT organizations can outsource: 1) specific functions relevant to IT operations like for example, software development and infrastructure, and 2) operations of business that have significant impact on IT systems like for example customer call centers and manufacturing (Lapland, Costello, Sigh, Bindingness, and Landon, 2004).
If it is true that outsourcing has been increasing since 1990, the nature of the practice has been changing: companies are consolidating and creating larger providers offering a broad range of service, countries such a China are beginning to compete with India, smaller and mid-size companies start to outsource work, and some of them are starting to outsource whole project including Research and Development (Leavitt, 2007).
The Forrester study showed and statistics that attracts the most attention track job losses. This study projects that offshoring by US companies will cause a loss of 3.4 million service jobs by 2015. At the same time, various studies suggest that something like 40% of offshore projects fail to deliver the expected benefits (Meyer, 2006). This is an interesting article (IEEE Computer) Revolution in Software Engineering
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