Tag: Outsourcing Services Management

How to Triage Your Outsourcing Services | Supply Chain Crisis Group | On-Demand Webinar

 

Coronavirus has truly devastated the world. The number of casualties is increasing week over week, the whole world is reeling under lockdown, a deep global economic recession is looming large, and the list (unfortunately) goes on.

Now is, more than ever, the time for innovative ideas and collective solutions.

It’s not the cause of the disruption that matters, but how you respond. Everest Group has teamed up with Procurious to pinpoint what can be done about this crisis – not only from your business’ perspective, but also through the lens of your outsourced service providers.

Register for this Supply Chain Crisis group

Presenters

Michel Janssen – Chief Research Officer, Everest Group
Amy Fong – Vice President, Everest Group
Abhishek Singh – Vice President, Everest Group
Helen Mackenzie – Principal Advisor, Procurious

Register for this Supply Chain Crisis group

Deciding Between Active and Passive Management of Outsourcing Services | Sherpas in Blue Shirts

Understand which model works best for managing outsourcing services in a consumption-based pricing model.

There are effectively two models for managing outsourcing relationships, whether it’s for IT and infrastructure services or for BPO. The services industry has been pushing a managed services environment as the best practice. But in reality, this is not the best practice for all types of outsourcing.

Passive management implies that you are managing to service levels. It’s very consistent with the book I wrote in 2000, Turning Lead Into Gold: The Demystification of Outsourcing, in which I advised buyers to let their service providers — the experts — do their job. Get out of their hair, hold them to the outcomes and don’t micro-manage them. That’s the philosophy, and it comes through in the managed services space, whether it’s applications, infrastructure or BPO.

But as I recently blogged in service-level agreements are dead, the challenge with this model is that the providers just meet the service levels stipulated in the contract and don’t meet your organization’s changing needs.

 

 

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