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Mitigating Out-sourcing Risk
By: Robert Johnson and Anthony Walker
Dec
2010
Many firms that outsource major projects can end up managing relationships at arms-length.
For complex, business-critical projects, this is a high risk strategy as it may fail to give sufficient warning of project setbacks. Issues may only become actionable after they have become major problems.
Embedding a “man in plant” is a good solution, but is often not practical due to the contractor’s cross-client confidentiality restrictions.
In certain circumstances, a solution could be to inte-grate a trusted consultant in the contractor’s project team, allowing issues to be identified early and managed more effectively…
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