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Renegotiation: Improving Contract Terms
Many companies with outsourced operations are reasonably well satisfied. However, as many as one-fifth are dissatisfied, and others are not entirely satisfied. Nonetheless, incumbents are rarely displaced (with some notable exceptions). Why is this so?
Paradigm Shift: The Client/Provider Relationship
During your outsourcing agreement, your outsourcing provider should be considered and handled as an arm of your organization with the same operational and fiscal responsibilities as your direct reports and departments.
This is most important during the budgeting period of the outsourcing agreement. If you and your provider do not work together, the annual goals for the two parties may actually conflict. To change this, a company may wish to reconsider its relationship approach.
Demisting the Fog of Outsourcing Results
One of the most challenging evaluations of success is the ability to measure the financial success of an outsourcing agreement. This challenge can only be described as "The Fog of Outsourcing Results."
The Fog of Outsourcing Results is not an original concept. In fact, almost all organizations fall into it. We use the concept in this article as a comparison to "The Fog of War", which is a term used to describe the level of ambiguity in situational awareness experienced by participants in military operations.
In short, whether you are developing a military strategy or a sourcing agreement, the probability of successfully executing even the best laid plans decreases once the first shot occurs. Demisting the Fog of Outsourcing Results starts with understanding how you got there.
From Staff Augmentation to Managed Services: Does it Make Sense?
As the evolution of sourcing options continues to broaden, many C-level executives have elected to offset a shrinking internal employee base with staff augmentation. However, there are several factors to evaluate when making this strategic decision.
This white paper covers the key questions and sourcing strategies C-level executives must explore before deciding whether staff augmentation, managed services, or a hybrid of the two is the best strategy to fulfill their vision and mission.
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