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Outsourcing Governance Assessment Service
Phase Two: Extended Outsourcing Governance
This phase is designed to leverage the foundation established by the Outsourcing Governance Assessment phase and focus on the areas of greatest need for improvement. The services may be customized to fit your needs, but representative components include the following:
Outsourced Service Benchmarking
This component provides a mechanism to compare the cost and quality of the outsourced services consumed by your company with those of peer organizations. This provides hard data for understanding the value of the services being provided and the opportunities for cost improvement in your outsourcing arrangement.
Outsourcing Governance Advisory Services
This component provides a means to augment the knowledge and capabilities of your in-house staff with knowledgeable industry experts. This allows your staff to leverage outsourcing governance best practices without investing in full-time staff in that area.
Outsourcing Governance Implementation Services
This component is a vehicle for cost-effectively improving your company's outsourcing governance capabilities in a timely manner. This allows your staff to be focused on the tactical aspects of managing the outsourcing relationship to meet your business needs, yet also address practical governance improvements, for example, outsourcing contract revision.
The scope and deliverables of each Extended Outsourcing Governance component will be tailored to your unique requirements.
Target Audience:
CFO,CIO, Outsourcing Program Manager, Procurement - IT and business executives and Senior Management who are responsible for developing the IT sourcing strategy and implementing it across the enterprise. This assessment will allow them to assess and improve their sourcing strategies and implement ongoing measures for continuous assessment and improvement.
This phase is designed to leverage the foundation established by the Outsourcing Governance Assessment phase and focus on the areas of greatest need for improvement. The services may be customized to fit your needs, but representative components include the following:
Outsourced Service Benchmarking
This component provides a mechanism to compare the cost and quality of the outsourced services consumed by your company with those of peer organizations. This provides hard data for understanding the value of the services being provided and the opportunities for cost improvement in your outsourcing arrangement.
Outsourcing Governance Advisory Services
This component provides a means to augment the knowledge and capabilities of your in-house staff with knowledgeable industry experts. This allows your staff to leverage outsourcing governance best practices without investing in full-time staff in that area.
Outsourcing Governance Implementation Services
This component is a vehicle for cost-effectively improving your company's outsourcing governance capabilities in a timely manner. This allows your staff to be focused on the tactical aspects of managing the outsourcing relationship to meet your business needs, yet also address practical governance improvements, for example, outsourcing contract revision.
The scope and deliverables of each Extended Outsourcing Governance component will be tailored to your unique requirements.
Target Audience:
CFO,CIO, Outsourcing Program Manager, Procurement - IT and business executives and Senior Management who are responsible for developing the IT sourcing strategy and implementing it across the enterprise. This assessment will allow them to assess and improve their sourcing strategies and implement ongoing measures for continuous assessment and improvement.
Identifying Key Areas of Outsourcing Leverage
Defining Balanced Outsourcing Strategy
Optimizing Offshore Leverage
Contract and License Management Review and Analysis Service Offerings:
Outsourcing and Offshore Leverage Management
RFP Development
Contract Negotiation Assistance
Performance Services
Performance Management & Measurement Services
Benchmarking Services
ERP Optimization Services
ITIL Services
Risk Management
Skills and Compentency Management
Planning and Strategy Services
Business Planning and Analysis
Business Process Management
Contract and License Management Review and Analysis
Enterprise Network Infrastructure Strategy and Planning
Enterprise Resource Planning (ERP) Strategy Services
IT Strategy and Plan Review
Storage Strategy and Plan Review
Security and Regulatory Compliance Strategy and Planning
Vendor and Technology Analysis
Performance Management & Measurement Services
Benchmarking Services
ERP Optimization Services
ITIL Services
Risk Management
Skills and Compentency Management
Planning and Strategy Services
Business Planning and Analysis
Business Process Management
Contract and License Management Review and Analysis
Enterprise Network Infrastructure Strategy and Planning
Enterprise Resource Planning (ERP) Strategy Services
IT Strategy and Plan Review
Storage Strategy and Plan Review
Security and Regulatory Compliance Strategy and Planning
Vendor and Technology Analysis
ITPMG Services
Outsourcing Governance Assessment Service
Outsourcing is undertaken for many reasons, but cost and quality considerations predominate.
Where cost is the major outsourcing driver, the goal is typically to significantly reduce costs while
maintaining IT service quality generally on par with in-house performance. In cases where quality is
the primary motivator for considering outsourcing, the goal is usually to achieve significant
improvements in IT service quality levels while achieving costs that are at or below comparable
in-house levels. Most outsourcing arrangements are fundamentally decided on a combination of
these primary considerations, even though there may be a host of other tactical and strategic
concerns.
Most companies invest considerable cost, manpower and time to enter an outsourcing agreement whether the outsourcing is complete or selective, tactical or strategic, off-shore or on-shore, IT or business process. Companies evaluate the feasibility of outsourcing, select the right vendor(s), negotiate detailed agreements and supporting documents and then transition assets, processes, and, sometimes, personnel. The overall return on this investment has generally been poor, resulting in cost overruns, quality problems and terminated contracts. Several studies place the success rate around fifty percent. A significant contributor to this failure is inadequate understanding of and lack of attention to outsourcing governance. One source states that not having a formal outsourcing governance program is one of the "top 10 major sins of outsourcing, destined to sideline success of these [outsourcing] initiatives."
Our experienced consultants have developed an effective, comprehensive approach to assessing governance related to outsourcing that will give companies the results necessary to determine the extent of their outsourcing governance and the impacts. Through our solution clients can obtain an outsourcing governance baseline that will allow them to prioritize their efforts to produce the greatest benefit.
Our consultants have extensive practical expertise in all phases of the outsourcing life cycle and outsourcing governance. Additionally, they use COBIT (Control Objectives for Information and related Technology) governance framework to do their analysis and assessments.
Description:
The Outsourcing Governance Assessment offering provides a phased approach that provides an assessment and analysis of the documented and actual outsourcing governance mechanisms that will enable clients to:
Most companies invest considerable cost, manpower and time to enter an outsourcing agreement whether the outsourcing is complete or selective, tactical or strategic, off-shore or on-shore, IT or business process. Companies evaluate the feasibility of outsourcing, select the right vendor(s), negotiate detailed agreements and supporting documents and then transition assets, processes, and, sometimes, personnel. The overall return on this investment has generally been poor, resulting in cost overruns, quality problems and terminated contracts. Several studies place the success rate around fifty percent. A significant contributor to this failure is inadequate understanding of and lack of attention to outsourcing governance. One source states that not having a formal outsourcing governance program is one of the "top 10 major sins of outsourcing, destined to sideline success of these [outsourcing] initiatives."
Our experienced consultants have developed an effective, comprehensive approach to assessing governance related to outsourcing that will give companies the results necessary to determine the extent of their outsourcing governance and the impacts. Through our solution clients can obtain an outsourcing governance baseline that will allow them to prioritize their efforts to produce the greatest benefit.
Our consultants have extensive practical expertise in all phases of the outsourcing life cycle and outsourcing governance. Additionally, they use COBIT (Control Objectives for Information and related Technology) governance framework to do their analysis and assessments.
Description:
The Outsourcing Governance Assessment offering provides a phased approach that provides an assessment and analysis of the documented and actual outsourcing governance mechanisms that will enable clients to:
• Computing services
• Data center operations
• Communication services (WAN, LAN, telephony, VOIP, IP)
• Hosted application/application management
• Remote operations and technical support
• Call center/help desk
• Application development
• Project management
• Staff augmentation
• Data center operations
• Communication services (WAN, LAN, telephony, VOIP, IP)
• Hosted application/application management
• Remote operations and technical support
• Call center/help desk
• Application development
• Project management
• Staff augmentation
• Understand the in-house and vendor elements of outsourcing governance
• Determine and rank the outsourcing governance problem and success areas
• Identify areas for reduced fees, hidden costs and improved service performance
• If coupled with comparative benchmarks, estimates of cost reduction potential
• Determine alternatives for problem resolution
• Determine and rank the outsourcing governance problem and success areas
• Identify areas for reduced fees, hidden costs and improved service performance
• If coupled with comparative benchmarks, estimates of cost reduction potential
• Determine alternatives for problem resolution
The Outsourcing Governance Assessment offering applies to all types of IT outsourcing, including:
The phased process and key deliverables are outlined below:
Phase One: Outsourcing Governance Assessment
This phase is designed to give companies a comprehensive and objective overview of their outsourcing relationship and how it is performing relative to the company's expectations and requirements.
Our outsourcing governance consultants review two dimensions of a client's current outsourcing governance mechanisms against the COBIT framework: the plan, that is, the documented elements, and the practical, that is, how the plan is actually implemented. A sampling of actual experience is used as an indicator of overall governance performance.
Deliverables
Outsourcing Governance Assessment Report analyzing elements such as:
Phase One: Outsourcing Governance Assessment
This phase is designed to give companies a comprehensive and objective overview of their outsourcing relationship and how it is performing relative to the company's expectations and requirements.
Our outsourcing governance consultants review two dimensions of a client's current outsourcing governance mechanisms against the COBIT framework: the plan, that is, the documented elements, and the practical, that is, how the plan is actually implemented. A sampling of actual experience is used as an indicator of overall governance performance.
Deliverables
Outsourcing Governance Assessment Report analyzing elements such as:
• Roles & responsibilities
• Procurement standards, RFP
• Outsourcing contract, SOW
• Vendor management standards & charter
• Service Level objectives & performance
• Vendor fees &, retained costs
• IT governance standards
• Procurement standards, RFP
• Outsourcing contract, SOW
• Vendor management standards & charter
• Service Level objectives & performance
• Vendor fees &, retained costs
• IT governance standards