Saving money and maximizing the moment is so important to CEOs as well as CIOs of all companies. The question is to have enough resources in house to handle the demand of our product. In making these types of decisions, most companies often don’t take the risk to do it in house but outsource their work. The decisions among the stakeholders in the company attribute their outsourcing to lack of manpower, level of demand of their product and not enough finances to pay a full-time staff.
In this project topic that I have selected which is General Motors (GM), I will analyze why 90% of their IT department (data centers, writing applications) that was outsourced is now being insourced again. Introduction General Motors did outsource its IT service for a period of time and recently have in source again. This is what it is all about correct? Evaluating, transforming and implementing new ways of doing things to benefit your customers and of course to be a success in business. In this aper we will identify the business topic of choice for my class project and outline the business and major topic to be addressed in the final project. With my final project topic selection, I will be discussing General Motors transition from outsourcing its IT component “The Data Center” to now a recent decision to insource their data center. General Motors today only do 10% of its company’s IT work. It relied all this time on contractors to conduct its IT business; however, there has been a gradual shift from outsourcing most of its information technology services to conducting the work itself.
This shifting to insourcing the work back is about the thousands of new GM jobs throughout the world that will be ready for the job market. GM has done the necessary evaluations and realizes that these contracts have no idea of the car industry business and no experience on how cars are designed, made and then sold. Therefore, the data centers will be handled by GM employees around the USA and the world. Now the data center is in house now or insourced, this will greatly improve GM’s ability to design the kind of software and data systems it needs to make popular vehicles. General Motors (GM) outsourced 90% of their IT department but recently made changes to insourced their IT department to GM employees.