What are the common influences of organisational policies

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Reference no: EM133316010

Case Study: After advertising in the industry newsletter and national papers, three tender bids were received by Kevin's Finance Company for the upgrade of its administrative system. The work was all encompassing. It included completely new software design, new hardware throughout the building, a training component and an ongoing maintenance contract. From a financial perspective, the three bids were all within 15 per cent of each other. The managers decided to evaluate the three options based on value and possible long-term synergy with the organisation.

The criteria they developed included:

Cultural alignment (the developer's and Kevin' Finance Company's staff)
Schedule flexibility
Evidence of past performance.

ABC system developer Synch Design eventually won the contract due to its willingness to accommodate Kevin' Finance Company's new assessment criteria. All tender bids were of similar quality with respect to specifications, cost, time and resources, yet the tacit qualities of cultural cohesion and accommodation helped Kevin's Finance Company make the final decision.

QUESTION: What are the common influences of organisational policies and procedures on outsourcing decisions that can affect staff and the organisation?

Reference no: EM133316010

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