Define outsourcing and insourcing in IT, with typical drivers and risks.

• A. Outsourcing transfers IT functions to external suppliers; insourcing brings them back in-house; drivers include cost, focus, capability; risks include security, loss of control, knowledge transfer
• B. Insourcing transfers IT functions to external suppliers; outsourcing brings them back in-house
• C. Outsourcing and insourcing are the same
• D. Outsourcing increases internal control

Answer: (A)