outsource or insource?

What are the possible gains and benefits if we are to take the information systems functions of the school outsource?

Are these benefits better than having the information system be insource?

Prior to the subject matter, I think it is best to first define what do outsourcing and insourcing really imply. And why such measures are being considered.

Based on Wikipedia, outsourcing involves the transfer of the management execution of an entire business function to an external service provider. It is often made in the interest of lowering firm or making better use of time and energy costs, redirecting or conserving energy directed at the competencies of a particular business, or to make more efficient use of land, labor, capital, (information) technology and resources.

Insourcing is the opposite of outsourcing. It means contracting in and is often defined as the delegation of operations or jobs from production within a business to an internal entity that specializes in that operation. It is often made to maintain control of critical production or competencies.

As defined, we may conclude that outsourcing or insourcing is about management of some or the entire business operations.

I think it would be best that the school’s information system be outsource for it would bring greater advantages. Making deals with other businesses the school can create connections and allies. Through outsourcing, the school can have an access to a wider span of knowledge and experiences and intellectual property from them; access to operational best practice that would be too difficult or time consuming to develop in-house; and can access to a larger talent pool and a sustainable source of skills. It can save and would take less time, energy and cost.

It can’t be denied that outsourcing can be more advantageous than insourcing. Though insourcing can also be good for local talents and capabilities are being utilized and informations would be safer and secured having a faculty or a member handling it.

In the end, I think it’s up to the client’s abilities and resources to determine what action should be done best.