We would venture that most organizations' first IT outsourcing experience involves engaging an external supplier for application development or package customization and implementation.

In truth, companies have been outsourcing ever since IT became a profession—by hiring consultants. Whether comprising a single resource or a team from the Big Four, whether on-site, near-shore, or off-shore, engagements have a much better chance for success following a proven process.

Following is an example of how sourcing engages at various stages of a project. We've highlighted primary responsibility. We delve into associated workflow in the page following, and discuss the process and artifacts in more detail in our supplier lifecycle section.

Stages of Engagement
Executive/ Sponsor		Project Manager		▼		IT Sourcing		PMO
Approve, Fund	►	Create	►	Business Case	►	Involve when considering outsourcing	◄	Advise
Approve	►	Create	►	Program Charter	►	Involve when considering outsourcing	◄	Advise
When engaging an external supplier...
Own	►	Manage	►	Project Initiation	◄	Advise, Facilitate	◄	Strategic initiative oversight
Approve	►	Input to and/or Create	►	RFP	◄	Create, Manage process	◄	Advise, Oversight
Select, Approve	►	Select	►	Supplier Selection	◄	Advise, Facilitate	◄	Advise, Oversight
Approve	►	Create in conjunction with Supplier	►	MSA, Statement of Work	◄	Assist, Coordinate (Legal, Finance, etc.)	◄	Advise, Oversight
Relationship, Programs	►	Programs, Projects	►	Governance	◄	Manage governance process	◄	Advise, Oversight
Logistics of escalation depend on problem severity level...
Management Escalation	►	Initiate with Supplier	►	Escalation	◄	Faciliate and Follow up	◄	Advise, Oversight