Evolution of Outsourcing

Outsourcing is not a new phenomenon. During 1960s and 1970s outsourcing started making its way in the area of finance and operational support in time sharing areas or processing service due to lack of affordability of computers and non-availability of skilled IT personnel. When vertical integration became a prominent aspect in the 1980s, the outsourcing of programming application had lost its steam. IT was considered a valued in-house function.

Organizations generally operated their information systems environment on a custom basis, developing IT infrastructure unique to ea