Project Experience

Operations and processes - IT Companies Ask, "Does this Function Really Need to be Performed In-house or Can it be Outsourced?

Client Situation
IT companies constantly evaluate their operations to decide what it is truly a core competency and what can be outsourced to gain cost savings or expertise. For example, on client heard that key rivals were closing manufacturing facilities and outsourcing their printed circuit board assembly operations. Our client asked, "Should we be outsourcing as well?"

Fuld Approach
Fuld & Company was asked to research how rivals had arrived at the decision to outsource and also to map out the steps in the transition should the decision to outsource be reached. Fuld & Company research revealed that while one small competitor believed that printed circuit assembly was a core competency and would not entertain outsourcing it, the faster growing rivals had implemented outsourcing.

Benefits and Implications
With this information and the transition map provided by Fuld & Company, our client could evaluate this decision carefully. Shortly thereafter, a press release announced the closing of its major manufacturing facility. . For more information, contactMark Chodnowsky at mchodnowsky@fuld.com