Development of a Decision-Support Model for Outsourcing of IT-Projects in the Public Sector

Public sector management in Slovenia has been following the trends in information technology (IT) outsourcing since the mid-nineties of the last century. Despite initial success, outsourcing issue has become increasingly problematic in recent years for various reasons. The paper focuses on in-depth analysis of the critical success factors, benefits and risks within the concept of IT outsourcing, while employing the international studies and primarily the results of own research examining the current state of IT outsourcing in Slovenian municipalities. Research analyses the methodological, substantive, procedural and other relevant aspects of IT outsourcing, provides a set of applicable decision making criteria and eventually presents the conceptual design of multi criteria decision-support model for quality selection and implementation of IT outsourcing projects in the public sector.