When businesses are trying to expand and require professionals to lead teams, terminology may get in the way of who performs what roles. When it comes to information technology (IT), new and vital professionals may seem hard to differentiate between one another. However, there are key differences between specific professionals needed with IT departments. Here are the responsibilities that differentiate between an IT manager and an IT project manager.

IT Managers

IT managers are the leaders of the entire IT infrastructure a business has to function properly. The IT manager must lead the entire IT department to regulate and maintain the IT network for the business. As a manager, this IT professional corresponds with other departments in the business about how the IT department is implementing the goals the business is aiming toward. In addition, the manager must be fiscally responsible and answer to executives and financial officers in the business the reasons behind certain costs and investments. Because of the dual computer technology and business acumen this profession requires, many IT managers have a Master of Business Administration (MBA) related to information technology.

IT Project Managers

IT Outsourcing came to foray as a means for corporations to focus on critical business operations while having a specialized IT company take over the responsibility of managing the IT infrastructure and application development. For corporations especially in the developed countries, IT outsourcing provided two fold advantages, one was access to a highly talented pool of engineers and that too at a lower cost since countries like India were quickly growing their stature as an IT outsourcing hub.

IT Outsourcing is now as mainstream as ever and almost every leading organization outsources some or all parts of its IT infrastructure to a specialized company. It makes pure business sense and with tightening budget controls, IT outsourcing has become one of the strategic cost reduction driver for most organizations. Moreover, IT outsourcing is no more restricted to companies in USA & Europe outsourcing their IT projects to countries like India. Domestic companies within India itself actively use IT outsourcing including the Indian government like the India Post project given to TCS.

Is it then a no brainer that IT Outsourcing is critical to your business? Well, if it is cheaper and does not seem to have any inherent disadvantages why not!! Not really, IT Outsourcing despite proven benefits has its limitations and you should be cognizant be of the same before considering outsourcing your IT operations.

·         Limitations in estimating the actual cost of IT outsourcing:Let’s tackle the biggest driver of IT Outsourcing-Cost Savings. For anyone to estimate the cost savings from IT Outsourcing one needs to be able to predict the cost of outsourcing which then helps understand the cost savings from the same. Yes, at a higher level it is a matter of a simple $ per man-hour costs and IT outsourcing will appear to be cheaper in almost all cases. However, “hidden costs” are commonplace with IT outsourcing and it can be immensely difficult to accurately predict these hidden costs. For example, you need to be able to identify the costs of transitioning your in-house IT to an outsourcer, management overhead needed to manage the outsourcing relationship etc. In addition, IT outsourcing contracts are fixed at the start of the contract and as a result any additional requirement/change tends to be charged additionally. It is no surprise that IT requirements can change frequently and if your outsourcing contract doesn’t account for flexibility, you might be limited in the actual cost savings you might make. There is no surprise that there have been so many instances of IT outsourcing projects overshooting their budgets by a huge margin such as the one government shared services project going 500 million pounds over budget

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The iconic software company that is based in King County Washington has been getting almost universally slammed from it's recent Los Angeles press announcement about its entry into the hardware business with the convertible laptop/tablet known as Surface.

Certainly I can see the point that it is now competing with its hardware vendors/partners. Intel has done a good job in the arena creating 'reference designs' without competing with its partners.

There is another viewpoint which seems to be ignored. The cold facts are Microsoft is a public company. This puts Microsoft in a legal position of doing the most it can to return value to its shareholders. Failure to do so means somebody is going to jail.

Microsoft has a vision, which at the end of the day is, a certain way to get enough people to see enough value to hand over their money, to fulfill their fiduciary duty.