In-house or outsourced digitisation?

Pros and cons of in-house and outsourced digitisation

The suitability of in-house or outsourced digitisation may depend on factors such as the type or volume of records, your organisation's digitisation requirements, and its geographic location. Below are some common pros and cons.

In-house digitisation

Pros:

• records are continuously available to the organisation
• the organisation retains control over the entire digitisation process
• the security of records is tightly controlled as access is restricted to known employees
• the experience in project management, digitisation equipment, and techniques may be transferable to other projects
• the organisation retains the flexibility to alter project requirements and digitisation parameters as the project develops.

Cons:

• there is a large investment of financial, IT, and human resources, both initially and throughout the project
• time is needed to implement and manage a digitisation process and technical infrastructure, with initial production levels and efficiency typically limited
• staffing and expertise are not always available, and any training investment will be lost if staff leave
• responsibility for network downtime, equipment failure and obsolescence, and keeping up-to-date with changing digitisation standards rests with the organisation.

Outsourcing digitisation

Pros:

• costs are more predictable as payment is typically based on the cost per page digitised
• high production levels and fast completion are achieved as equipment and staff are already in place
• the expertise and experience of specialists can be leveraged
• costs of technology obsolescence, failure, downtime, and staff changes are borne by the service provider
• economies of scale are realised as service providers often digitise records for multiple clients.

Cons:

• records may be unavailable to the organisation while being digitised
• the organisation has less control over digitisation and quality assurance
• institutional knowledge and experience in digitisation are not built up for transfer to other projects
• the organisation must manage a complex contractual process, including specifying requirements, negotiating with the service provider, and monitoring outcomes
• the knowledge gap between the service provider and your organisation may cause delays and confusion
• there is a risk of loss or damage to records during transport and handling
• security and privacy issues may arise if the service provider’s staff access confidential records
• use of proprietary software may create accessibility issues, difficulties with future migrations, force your organisation into use of that software or increase costs
• records may be sent out of NSW without the organisation’s or State Records NSW's consent.

Your organisation should assess these pros and cons to determine the best approach for your circumstances.

Is it all or nothing?

You may consider outsourcing only part of the digital capture process, such as optical character recognition or metadata collection, when viable.

Common questions

What are the responsibilities for the organisation if digitisation is outsourced?

Organisations remain responsible for:

• ensuring the security and privacy of records
• managing contractual obligations
• verifying that the digitisation meets specified requirements.

What should I address in my contracts with outsourced providers?

Contracts should cover:

• detailed specifications for digital images and metadata
• security and confidentiality requirements
• timelines and deliverables
• provisions for quality assurance and issue resolution.

Checklist