Sunday, October 31, 2010
7. Outsourcing: Finger-pointing
One drawback of outsourcing to multiple vendors is that if an error occurs with some function related to all vendors responsibilities, the firm responsible for the error might blame the mistake on one of the other vendors, or the firm itself. Finger-pointing is detrimental as it fosters hostility among the involved parties and may result in the firm never identifying the true source of the problem. The result... wasted time, wasted money, and new enemies. For this reason, among others, I believe that outsourcing should be limited to as few vendors as possible. Fewer vendors equals better relationships with selected vendors, and less risk of finger-pointing.
Subscribe to:
Post Comments (Atom)
I agree Will. We have seen some of this with the BP spill. Multiple companies were responsible for different aspects of keeping the rig running and safe, but there was a lot of blame transferal. I think this can increase gray areas in terms of responsibilities.
ReplyDelete