Outsourcing

• Outsourcing is the allocation of risk and responsibility for the performance of the Risk Management function.
• Two most common reasons to outsource are to save money and to improve the effectiveness of processes.
• The danger of outsourcing is the assumption that anyone can deliver the services and that the service will be the same or better for a lower price.
• It may not be economically viable for a company to employ, on a full-time basis, a high level of expertise particularly if it is not required 24/7. If Risk Management is only a supporting function to your main operation it may be more cost effective to outsource the function.
• Agreeing on the "scope" of outsourcing requires significant detail as to the nature of the services being provided.
• To achieve a high level of success for outsourcing it is important that your company embraces the change.
• Prepare a business case and plan in advance on how communications will work within your organization. We can assist you with the preparation for this change.