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Possible Risks Of Outsourcing Essay

1560 words - 7 pages

Possible risks of outsourcing
There is no way around protecting from all known risks from outsourcing but there are certain items that can help slow down the issue. There are going to be times when recommendations will not be accepted or appealingly to certain situations. We will go on and explain different risks that may or may not occur and some recommendations for different risk mitigation strategies.

External service provider for data storage
There are different types of people that want an easier way to store data and this is where flash drives com into the scene. The flash drives are small enough to carry with you and store data from your computer to ...view middle of the document...

Educating the employees of the potential risks that are involved when using flash drives and how to use flash drives properly is a practice for every company.
Also to prevent the theft level for flash drives try to put a security feature that will request a fingerprint or a password to unlock the data that is stored on it. These security features have been used by a lot of different companies no matter the size. By reason of that, all companies have something to protect, if that is data, employees, or their customers.
The use of Enterprise service provider for processing information systems applications
With this section we will discuss more on privacy than anything else. Some of the concerns or risks that may be involve when it comes to privacy and the use of enterprise service provider for to process information systems applications is that when a another company us using a software/program that can support your payroll department or the human resource department, than this can cause an issue and several risks because this means that the other party will have access to all the information and data in that system that can use for their own purpose such as selling the information to other people.
Order taking the same thing can happen, with this part the other party/ third party can take the information of the customers and sell them to other companies that will send the customers spam mail or can also steal their payment card that is on file.
Risk mitigation strategy
Here is a risk mitigation strategy that should be put forth to save the customers information; Use tools that are specifically for preventing fraud related incidents. There are different types for large, small and medium size companies, for an example; “The Address Verification Service (AVS) is a risk management tool that enables merchants accepting card payments in a non-face-to-face environment (e.g. e-commerce, mail order and telephone order [MO / TO]) to verify the validity of the billing address provided by their customers by comparing it to the one on file with the card issuer. Using AVS helps card-not-present merchants minimize fraud and fraud-related chargebacks” (UniBul Merchant Services, 2011). This method will help customers feel protected when making purchases online.
Venders to support desktop computers
When looking at a vendor that will support desktop computers there are several areas to look like the time management, the cost management and even the quality of the work. Here are a few that a risk management might have to consider when looking into a vendor to hold up the structure of the desktop computers;
* Amplify to the time to answer an incident ticket or trouble ticket that someone may file if there are any problems with their desktop computer.
* There could be some communication obstacles that may happen only because when dealing with the vendor over the phone it...

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