There are numerous reasons why outsourcing could be detrimental to innovation. Perhaps one of the most self-evident is that outsourcing firms are unlikely to innovate, as their work is confined by stringent, unbending contracts. Suppliers find it difficult to justify innovation unless it directly helps their ability to meet their contractual obligations and internal revenue/profitability targets. Clients commonly assume that innovation during an outsourcing engagement will naturally come about.
Advisor
Governance Is the Key to Innovation in Outsourcing
Posted September 21, 2010 | Leadership | Leadership |
Don’t have a login?
Make one! It’s free and gives you access to all Cutter research.