AS COMPANIES assess their organizations for areas where efficiencies can be gained and costs cut, outsourcing has emerged as an increasingly important fiscal tool. But according to recent remarks made by a Gartner Group consultant, 2002 will be a record year for bad outsourcing deals.[1]� This may be due in part to companies having rushed into long-term outsourcing relationships for short term cost-reduction objectives in an effort to appease the market and investors. A prudent approach to outsourcing arrangements recognizes the long-term likelihood of changed circumstances, and gives both parties the legal room to reconsider the relationship.
What Is Outsourcing?
