Does it make more sense to develop the solution internally or use outside resources? While much has been written regarding the build vs. buy decision for technology solutions, there is little literature regarding learning solutions or the training function as a whole.

While we believe that build vs. buy is a good question to ask, it is not necessarily the first, only, or best question to ask. In order to determine what makes sense for your specific situation, we recommend considering the following questions and reviewing the enclosed articles on outsourcing.

• 5 Key Business Questions to Consider before Outsourcing • Key Cost, Quality, and Time Questions Regarding Outsourcing • Outsourcing for Cost Savings, Speed, and Strategic Growth • Top 10 Reasons Companies Outsource • Top 10 Factors for Successful Outsourcing • Top 10 Factors in Vendor Selection • With LSA vs. Without LSA

5 Key Business Questions to Consider before Outsourcing

Before speaking with a potential outsourcing partner or finalizing your decision to outsource a function, program, or project, we recommend that you review the following questions. At a minimum, your potential vendor or partner should be asking these questions to ensure that they are adding clear value.

1. Do you understand all of the symptoms? • What is the context of the issue? What are the facts and the technical issues? • What pain is the problem causing? How is it felt specifically? How does the problem manifest itself in your organization? • How bad is the pain? How big is the problem? What is the value of solving the problem? What is the value of not achieving your desired result? What are the consequences to you? Your boss? Your organization? • Who/what else is affected? Is that important?

2. Do you understand the key causes and constraints? • How did the problem come about? • What has stopped it from being resolved before now?

3. Do you understand the business objectives? • What are the positive desired results? • What are the benefits of solving the problem or fulfilling an opportunity? • How will you know success has been achieved?

4. Do you understand the benefits? • What is the payoff from each outcome? 5. Do you understand the bigger picture? • If you were the CEO (or General Manager) of your company, would you care about this problem?

Why? What about the solution would be valuable to you? • Is there anything else to consider? • Has anything been left out? • Is there anything or anyone that would inhibit the successful implementation of a solution?

Key Cost, Quality, and Time Questions Regarding Outsourcing We believe that the outsourcing of a function, program, or project should provide clear cost, quality, and time benefits to an organization. Here is a list of typical questions that we believe should be addressed.

Cost

Will outsourcing reduce costs? Short term? Long term? Have you compared Build vs. Buy return on investment scenarios? Do you want to invest internally in hiring, managing, firing, researching, assessing, designing, marketing, delivering, and evaluating solutions?

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