An enterprise is considering outsourcing non-core IT processes. Which of the following should be the FIRST step?

Updating resource allocation policies comes after the decision to outsource and understanding the impact, not before evaluating the option itself.

Prior to committing to any outsourcing initiative, conducting a comprehensive cost-benefit analysis is essential to understand the potential financial implications, risks, and strategic advantages or disadvantages of moving non-core IT processes externally. This analysis provides the foundational data to make an informed decision on whether outsourcing is a viable and beneficial path for the enterprise.

Issuing an RFP is a step in the selection process, which should only occur after the decision to outsource has been made based on a cost-benefit analysis.

Establishing service level metrics is critical for managing an outsourced relationship, but it presupposes the decision to outsource has already been made and is part of contract negotiation and management.