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Compliance and outsourcing

How does compliance affect outsourcing within a B2B environment?

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By compliance, I'm guessing you're referring to all the recent federal government growth in areas that affect IT and information security. Assuming that, compliance definitely plays a big role in this and is something that should be on every company's radar -- public or private. Without knowing specifics of your industry -- that is, whether or not SOX, GLBA, HIPAA, etc. affect your company -- it's hard to give any definitive answers or suggestions. As compliance relates to B2B and outsourcing, keep in mind that business partners that you transact with may be covered under certain compliance requirements. Make sure they know that and you get it in writing that they agree to protect information just as your organization does. Also, remember that if you're outsourcing to overseas firms, they may or may not know (or care) about U.S. regulations so make sure you're doing business with others who are on the up and up.

This was first published in June 2004

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