I have been on both sides of this equation and in multiple industries. After decades of experience I would agree with @Ben. I believe outsourced activities are best for those mundane tasks where one does not need to make a strategic decision. IE desk top support is stable and consistent, great for outsourcing if needed to balance the budgets. Always expect to get the students (however, some of these people can be amazing – hire them)
For areas where decisions must be made and risks are involved, I believe using outsourcing for expertise and a different point of view can be valuable. However, an employee must be actively engaged and making the final decisions for direction and implementation. Monitoring for pre-determined threats is also a good candidate to outsource.
One of the things often missed when outsourcing is the direct connection to your users and your problem. A desktop support person may “discover” better ways for your employees to work, common issues etc. They will also become a point of contact and an avenue into IT for those bigger projects that they are just not sure about.
Thanks for the question,
Martin
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Martin Richardson
Business Architect
EXE Consulting Inc
Surrey BC
604-700-7270
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Original Message:
Sent: 12-22-2020 12:23
From: Ben Ettlinger
Subject: In-House vs Out-Source: IT Activities, IT Skills, IT Staff
- What are the main IT activities that electricity utilities prefer to do in-house with its staff, and which ones are done by out-source
I would suggest to out-source as little as possible. Firstly out sourcing is KUKOU Knowledge & Understanding of your business is Knowledge OUt the door. Especially for a new organization. Many if not most out sourcing agreements are cookie cut to the sourcing companies specs, not yours. They will bring their most experienced people to the presentations and give you college grads to do the work. An the knowledge and experience walks put the door at the end of the engagement. You can do that same thing, and end up keeping the knowledge and experience in house.
- What are the IT skills that utilities develop and foster in-house and which ones are out-sourced?
I would say maybe desktop support services is something you can outsource, but Cyber Security, Resiliency, Application Development, Analytics, portfolio management, PMO Integration of purchased software (if you are doing it), Enterprise, Data, Solution Architectures etc. should all be in house.
- Is there a recommended proportion of in-house staff vs out-source staff in electricity utilities?
In-house staff 100% out-source 0% or as close to it as possible. That’s my opinion after three decades in IT.
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Ben Ettlinger
Emerging Technologies
Enterprise Architecture & Engineering Group
New York Power Authority
White Plains, NY
914 681 6496
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Original Message:
Sent: 12-21-2020 13:28
From: Leslie Cook
Subject: In-House vs Out-Source: IT Activities, IT Skills, IT Staff
Season’s Greetings UAI Members,
As many of us are getting ready for the holidays, one of our members has a few questions as she builds her IT and analytics organization. Can you all provide your own insights and experiences relative to the questions below?
“We all deal with the dynamic demand of quick innovative solutions although our IT staff doesn’t grow. So in many cases we use out-sourcing.
- What are the main IT activities that electricity utilities prefer to do in-house with its staff, and which ones are done by out-source?
- What are the IT skills that utilities develop and foster in-house and which ones are out-sourced?
- Is there a recommended proportion of in-house staff vs out-source staff in electricity utilities?”
Your input and insights are much appreciated!
Thanks!
Leslie
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Leslie Cook
Membership & Digital Engagement Manager
Utility Analytics Institute (UAI)
719-203-8650, lcook@endeavorb2b.com
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