The IT Outsourcing Question

The pros and cons of outsourcing utilities' IT functions.

Utility companies have a lot to think about these days. Whether or not to outsource information technologies (IT) is part of the equation being calculated in the present economy. While some managers feel anxiety at turning over important company functions to outsiders, others see it as an opportunity to free up IT staff for other work. And keeping up with ever-changing technology is a daunting task.

Companies that specialize in outsourcing are certain not only that they can save utility companies money and make utility staff available for in-house work, but that they can improve IT performance, thereby giving their clients a leg up on competitors. Other factors are involved, of course, but the experts believe there is no better time to outsource IT, and that the elimination of operational errors is perhaps the most important advantage to be had. They claim their experience translates into improved reliability, allowing utilities to attain a level of quality and service that could not be achieved alone.