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A CIO's Framework for Outsourcing IT Infrastructure

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Evaluating Outsourcing IT Infrastructure Decisions:
Considerations for Chief Information Officers (CIOs)
Introduction
The decision to outsource the critical infrastructure platform of an enterprise, which often includes support for enterprise applications essential for the business ot function, is one with long-range, strategic implications. The role of the CIO is quickly changing to be a strategist first and technologist second, concentrating on how IT infrastructure can be successfully used for aligning IT resources to strategic plans and programs. This decision to outsource a critical component of the overall architecture needs to balance the cost reductions possible on the one hand and the potential to augment internal expertise on the other. This is a complex decision that needs to take into account the business case, cultural factors, IT-based technology factors, and managerial implications as well. The intent of this analysis is to provide guidance to CIOs who need to make this decision and emerge with a stronger IT infrastructure capable of getting their enterprises to their goals and objectives.
Business Case Analysis of Outsourcing IT Infrastructure
The business case for outsourcing IT infrastructure most often is anchored in the benefits of gaining expertise external to the enterprise first, despite the commonly-held belief that this strategy is purely for cost reduction. The value of gaining external expertise in critical IT infrastructure processes and

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