What were the major drivers of the outsourcing at Kone?
- The main business of Kone is in escalators and elevators, not IT so they don't want to invest more on this IT solution.
- They have a big business environment that need to properly manage and need to implement global-standard IT environment.
Why did Kone elect to work with several vendors?
To ensure that each vendors can concentrate only on their specialty without need to concerns about other things.
What are some of the risks of this outsourcing?
i. Increase cost for training and support.
ii. Complex interfaces with other systems.
iii. Duplicate data entry.
iv. Data storage redundancy.
How can Kone control its vendors?
Kone keep maintains it IT competencies to allow it to actively manage their vendors partners. they will meet online regularly, and this two vendors, SAP and HP collaborate and work together.