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	February 12, 2010 Categorize IT Outsourcing Investments To Ensure Success by Chip Gliedman with Bill Martorelli, Sharyn Leaver, Varun Sedov

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Executive Summary

Contracting with third-party providers to supplement and complement internal IT resources represents about 20% of IT spending globally. However, 15% to 30% of surveyed organizations are dissatisfied with various aspects of their outsourcing relationships. Forrester developed our Technology Investment Matrix to assist in the analysis and categorization of technology investments. Organizations considering technology outsourcing can use this matrix to ensure that there is a clear understanding of the underlying business goals behind an outsourcing consideration, that the organization and outsourcer are aligned on these goals, and that the proper metrics and SLAs are in place to increase the probability of overall satisfaction with the relationship.

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