Which of the following is a risk of outsourcing IS/IT functions?
A)It gives undue authority to the CIO in the executive team.
B)It provides the hiring organization with too many choices.
C)It involves the potential loss of intellectual capital.
D)It enables the vendor to gain economies of scale.

Question

Quizplus · Accepted Answer

Outsourcing IS/IT functions involves sharing sensitive information and knowledge with a third-party vendor. This may lead to the loss of intellectual capital, which can be a significant risk for the organization. The other options do not apply as they either do not relate to outsourcing or provide potential benefits rather than risks.

Which of the Following Is a Risk of Outsourcing IS/IT