Successful Outsourcing

Did you know that surveys have revealed that 35% of outsourcing contracts were terminated for cause and 65% resulted in customer dissatisfaction? If you want to avoid significant costly mistakes, this course is for you. The instructors have experienced outsourcing from all angles. They were there at the beginning and negotiated the original deal. They then had to live with the results and manage the outsourcer. The experience and techniques they will impart to you are invaluable.

The Decision

  • Business objectives of outsourcing
  • The human dimension
  • Dealing with the internal outsourcing debate
  • When outsourcing is right even when it’s wrong
  • Outsourcing vs. sub-contracting
  • Renewal vs, renegotiation & make vs. buy decisions
  • Renegotiate or insource?
  • Outsource or not?

The Issues

  • Mistakes in managing contracts
  • The management overhead burden (What should it really be?)
  • The challenge of bundled vs. granular pricing
  • Price flexibility
  • Price vs. cost base liability
  • Stranded cost issues
  • Contracting for future unknown technology
  • Technology refresh issues
  • The 5 worst practices in outsourcing
  • The contractual bombshells such as “Fair Price” and “Best Commercial Practices”
  • Managing increasing outsourcing complexity with fixed resources
  • Can global outsourcing work?

Lessons Learned

  • Best in breed vs. general contracting
  • Current good contracting terms & conditions
  • Management team structure
  • End-to-end measurement
  • The effect of SANs/NAS & other technologies
  • Inflationary vs. deflationary pricing
  • Successful pricing methodology
  • Unit cost vs. consumption cost
  • Effectiveness of benchmarking
  • Sales tactics used by outsourcers
  • New RFP provisions
  • Recent trends
  • What if outsourcing does not seem right?
  • Internal communications during the outsourcing negotiation
  • Consensus negotiation in outsourcing
  • SLAs, warranties, remedies
  • Transition services front end/back end
  • What if you have to bring it back in house?

To find out more about Maxelerate Training or book a seminar to be delivered at your offices call toll free (866)855-5335 or contact us.