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IT Outsourcing for Government Agencies: Best Practices

Blog Post
February 26, 2021

Outsourcing IT services is a way for companies to dedicate more time to core competencies, improve efficiency, and save money, but this solution is not just for private businesses.

Government agencies can also outsource work as long as they adhere to certain guidelines. While there are many advantages for government IT outsourcing, government employees must do it carefully to ensure compliance and security. Efficient and safe IT outsourcing for government agencies is all about choosing the right contractor and following the best practices.

This guide will review the top reasons and best practices for government agencies to outsource IT.

Reasons for Government Agencies to Outsource IT

Outsourcing IT services does not just benefit private companies. It can also provide critical advantages to government agencies, including:

  • Productivity. IT experts perform the work quickly and efficiently, as it is their area of expertise. This means that they can address issues quicker and than the government agencies could on their own. Productive IT services limit downtime and allow all work to be more productive as well.
  • Streamlined operations. Outsourcing the IT work makes it easier for government agencies to manage. They will be able to integrate results and streamline operations quickly.
  • Focus on core competencies. Instead of focusing the team on IT services as issues, the government agency can let the outsourced IT team handle that while their team works on other parts of the job. This means the agency will be able to get more done in less time.
  • Cost-Effectiveness. Hiring full-time, in-house IT personnel for special projects can be costly. Outsourcing IT is an excellent way to reduce overhead costs. It’s much easier to stay within your budget and only pay for the work you need when you outsource.
  • Access to experts and resources. Rather than spending the time and money to acquire experts and all the tools they need, you can get access to them via outsourcing. Through outsourcing, the government agency can get help and insight from experts and the latest tools without paying the big-ticket price for them.

Should a government agency outsource IT?

Outsourcing IT can help government agencies from public schools to cities and states efficiently handle IT services for an affordable price. When determining if it makes sense to outsource IT, the government agency should thoroughly assess its infrastructure. Evaluate your IT resources to get a good idea of the scope of the work you should outsource versus what to handle in-house. Carefully examine your existing infrastructure to decipher if outsourcing IT or management would be best.

Many government organizations struggle to retain IT leadership due to salary and location restrictions. If this is the case, outsourcing can be an extremely valuable solution.

Considerations for Government Agencies to Outsource IT

While outsourcing IT provides many benefits for government agencies, it also includes some unique challenges for them. Government agencies have to adhere to more stringent compliance and security requirements due to the nature of their work. Here are some challenges that government agencies face when outsourcing:

  • Ensuring compliance. Working with a government agency comes with several important rules. IT vendors must understand and follow these rules. Guaranteeing this can be a challenge for government agencies.
  • Collaboration challenges. Private sectors and government agencies can function differently, which may pose challenges for collaboration.
  • Contract management. Leveraging IT contractors requires diligent management and will factor into the cost and time of outsourcing.

Best Practices for Government Agencies When Outsourcing IT

The considerations for outsourcing should not deter government agencies. When done thoughtfully and carefully, outsourcing is still an excellent option for government organizations. The key to managing the potential challenges is to follow best practices. Here are the best practices government organizations should keep in mind when outsourcing IT:

Evaluate the Outsourcing Initiative

Don’t make the mistake of jumping into outsourcing. Layout the benefits it will offer, how it could work, and the potential cost ahead of time. You must understand the potential services and the financial requests of the proposals. Consider the regulations, statutes, tax policies, and stakeholder interests as well.

Scope the Project Early

Understand the full scope of the project. Determine the goals and expected outcomes as well as the major tasks associated with them. Scoping should be done very early on.

Find a Reputable Contractor

An IT contractor or company with your organization’s experience and integrity is essential. Choosing the right contractor can take some time, but it’s not a step to skimp on. Check for relevant experience, education, and the pertinent “soft-skills,” like communication. Then, follow best practices in the hiring stage.

For government agencies, finding the right contractor will likely require background checks and drug tests.

Create the Contract

Craft a service-level agreement. This document is vital, as it will define the service and its delivery. Take the time here to very carefully craft the contract. Define any protocols and be clear with your wording. Detail your agency’s requirements for performance characteristics and quality assurance, but make sure that the contract is clear and easy to understand. The contract should also include regulations.

Get Consensus

Government agencies must get everyone on board when deciding to outsource. Make sure your department is open about your needs and identify the key business processes. Work together to reach an agreement across departments. Ultimately, it’s imperative to gain approval from leaders. While this can be a challenge, government agencies can overcome it by committing the time to involve the CIO and vendor.

Assess Performance

Rather than waiting until the end, assess performance during the contract. Base your assessment on the defined milestones and expectations. Dynamically assessing progress will help identify areas for change or improvement, yielding better results overall.

Transition Out of Contract

An ending contract can also disrupt government agencies. Avoid this disruption by planning for end-of-contract challenges and putting systems in place for a smooth transition. Address transitions in the initial proposal and update them as you progress through the contract. Ensure that all necessary materials, technology, equipment, documents, proprietary rights, and/or information will be transferred accordingly.

The Value of Long-Term Contracts

For all organizations, but especially for government agencies, long-term contracts or recurring IT techs are incredibly valuable. You can save time and headache on the best practices when you work with a long-term/ recurring tech. You can go through background checks, drug tests, and regulations once rather than every single time you need to contract IT services when you work with recurring and long-term contracts.

IT Support and Services for Government Agencies

While it requires careful planning, outsourcing IT support can be a massive benefit for government agencies. The key is finding a knowledgeable, experienced IT service provider that can follow a government contract’s regulations and requirements.

Teksetra offers IT support and services that you can trust. We will help you find the best IT solution for your government organization while meeting your budget and requirements. Some of the IT solutions we offer include help desk support, security, staffing, and outsourcing. Contact us to learn more about how Teksetra can help your government organization with IT support solutions.

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