OneNeck IT Services: Oracle Management Services - How to Avoid Outsourcing Pitfalls

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Chuck Vermillion is CEO and founder of OneNeck IT Services, a leading provider of hosted application management and managed services since 1997. For more information about Oracle Management, visit http://www.oneneck.com/Solutions.aspx today.

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OneNeck IT Services: Oracle Management Services - How to Avoid Outsourcing Pitfalls

  1. 1. Oracle Management Services How to Avoid Outsourcing Pitfalls
  2. 2. Oracle Management• Outsourcing Oracle management services will continue to become a viable strategic choice among more and more companies.• The pressure is on for businesses to leverage their ERP applications to improve processes and ultimately have a positive impact on the bottom line.
  3. 3. Oracle Management• The most important factor in successful Oracle management services is selecting the right outsourcing vendor from the beginning.• The wrong partner can be costly and changing vendors can be a difficult transition.• The most important qualification for an IT outsourcing provider is to have proven experience in the required application environment.
  4. 4. Oracle Management• For Oracle management services, companies need a service provider with verifiable expertise in Oracle applications and widespread experience managing Oracle environments.• Finding certified Oracle partners is an initial step in identifying qualified candidates.
  5. 5. Oracle Management• If companies focus on qualifying criteria with the most impact, they have a better chance of securing the best relationship with an Oracle management services provider.• Rather than evaluate a plethora of qualifications, businesses should focus on answering at least the following eight questions:
  6. 6. Oracle Management• What are the outsourcing firm’s service offerings and how do they measure in terms of quality and reliability?• What is the Oracle management provider’s level of application management skills and does the vendor have access to new technologies?
  7. 7. Oracle Management• Can you verify the expertise, technical skills and resumes of the outsourcing company’s staff?• Does the Oracle management services company have a good reputation, track record, references and other third party, objective endorsements?
  8. 8. Oracle Management• Does the outsourcing firm have global delivery capabilities and facilities strategically located?• Does the vendor’s pricing provide the necessary cost savings and value?
  9. 9. Oracle Management• Is the Oracle management services provider financially stable and have adequate funding to ensure they’ll be around for the long haul?• Is the outsourcing company’s corporate culture a good fit with the customer’s executives, technical staff and end-users?
  10. 10. Oracle Management• The next criteria for companies evaluating outsourcing providers is assessing the vendor’s performance measurements.• Often performance criteria are spelled out in the agreements with specific metrics.• To ensure the best partnership, the outsourcing agreement must include a detailed description of services and the measurement criteria to be used for performance evaluation.
  11. 11. Oracle Management• Having issues with the scope of services after an agreement is in place can put a strain on the relationship.• Both parties must develop and agree on a comprehensive set of services, deliverables, pricing, schedules and performance levels.• What penalties occur if certain performance levels are not maintained?
  12. 12. Oracle Management• Finally, an important part of an outsourcing arrangement is managing the vendor.• Although the outsourcing company will be assuming the work is clearly defined in legal Statements of Work (SOW’s), they will still need to have open channels of communication with the customer.• Active involvement by both parties will ensure project goals are met and the relationship can move forward productively.
  13. 13. Oracle Management• Outsourcing Oracle management services will continue to grow as more companies realize the value of not having an entire in-house operation.• As time goes on, outsourcing is expected to offer more cost efficient, and value justified, application management solutions.
  14. 14. About the Author• Chuck Vermillion is CEO and founder of OneNeck IT Services, a leading provider of hosted application management and managed services since 1997. For more information about Oracle Management, visit http://www.oneneck.com/Solutions.aspx today.

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