Analysis of IT Outsourcing Services Failures Based on an Existing Risk Model

Outsourcing services have been one of the strategic measures adopted with regard to directing the focus of a company to its core business. However, companies which try to adopt Information Technology outsourcing have been faced with several threats. Therefore, the purpose of this paper is to show the applicability of an existing risk management model to deal with uncertainties in outsourcing services. The main idea is to combine Failure Modes and Effect Analysis (FMEA) with Fuzzy Logic to detect which of the different dimensions considered is more likely to fail. To show the applicability of the model, a hypothetical example was conducted with the knowledge of an expert. The result of the model is important as this will assist managers in preventing potential failures.