If you are the Chief Information Officer (CIO) in a large organization, will you prefer to outsource your IT department or deploy IT Process Automation / IT Robotic Automation in your IT department? and Why?
IT Process Automation department is, good for the company, if situated in China or India, where skilled worker would be available at low hourly rate. For the company situated in U.S, outsource of IT department, would be more economical, for the company. As CIO, companie's economy and work quality is of prime importance.
As Juehui Shi said, according to transaction cost theory, there four main variables you have to look at for deciding whether to outsource an activity or not. Specifically, you have to asses the complexity, the uncertainty, the frequency and the specificity of the assets involved in the activity. The higher the level of these variables, the more suitable is to develop the activity in-house
It depends on your requirement. If your financial and time conditions need to be checked, also the company policy regarding the security if data also does matter. It is preferable to have your own IT process if company is large as cost is reduced and expertise are available as and when required for tailor made solutions.
It depends on the objective to be achieved. In the case of an economic objective to be analyzed transaction costs involved in two ways. So you will have elements to decide between the market and the hierarchy.
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