Response from: Gary M. Zeiss, Esq.

While I agree that communication is often a problem in outsourcing, particularly with regard to highly technical matters, I believe that failure comes more from unrealistic expectations than it does from miscommunications. Companies that outsource for cost savings seek magic bullets to cut their budgets. They often neglect the fact that additional management (with a different skill set) is necessary to successfully manage the deal. Suppliers, also, tend to low-ball prices (particularly in competitive bidding situations) and count on the ability to later build up their margins through change control and additional services. In both cases, these expectations are out of line with reality. If both sides were reasonable and honest to themselves about their deals, I believe that both parties will find themselves happier with the results of their outsourcing efforts. For more of my "Perspectives on Outsourcing," see my web site at http://www.zeissesq.com.