People often tout Pareto’s Principle – better known as the 80/20 Rule, meaning 20% of something is always responsible for 80% of the results. It’s like a thump to remind us to focus on the 20% that really matters. But what is that 20% when it comes to outsourcing and where in the outsourcing journey does the 20% occur?
What do you think? Before you answer, consider the following.
Every year, many Americans hike the Appalachian Trail, 2,000 miles through 14 states on the US East Coast, from Georgia in the South to Maine at the northern tip. The most… Read the rest
For many fans, the Super Bowl came and went quickly. But for those of us who live in Arlington where the stadium is located, or in the neighboring cities of Dallas and Ft. Worth, the impact has lasted for the past couple of years and isn’t over yet.
The unexpected spirit-sapping ice storm we experienced during Super Bowl week and all the impacts because of it presents what I think is a classic specimen of what often happens in outsourcing relationships. Especially regarding service level agreements and contracts.
Just as in an outsourcing relationship, the parties involved had specific objectives… Read the rest
It’s a well-known fact that when the interests of parties in an outsourcing arrangement are not aligned – either because the original business assumptions changed over time or because they were never truly aligned in the first place – the deal is not mutually beneficial and one party won’t get the anticipated return on investment. However, most companies don’t understand how to structure and sustain a win-win deal.
Kate Vitasek’s book, Vested Outsourcing, describes the kind of relationship where all parties are truly vested in behaving in a manner that ensures they all look out for… Read the rest
If you’ve had the privilege of speaking with Kate Vitasek or listening to one of her presentations on Vested Outsourcing, you’ve heard the excitement in her voice. And rightfully so. Judging by reactions to her book, she’s on the cusp of changing the way outsourcing works.
Vitasek truly believes that “together” is better. Vested Outsourcing describes a win-win partnership – the kind of relationship where all parties are truly vested in behaving in a manner that ensures they all look out for each other’s best interests. It’s something that is rare today. Although many companies claim to… Read the rest
Like all journalists, my inbox fills daily with press releases. Here’s one that caught my eye this week and – believe it or not – it made me think about outsourcing.
Do you love gourmet, country style bacon? Do you love premium roast gourmet coffee? Do you love the semi-sweet, sensuously succulent flavor of maple? Then something tells me that you are going to absolutely love Boss Hog’s Maple Bacon Coffee!
The press release went on to describe the product in these terms: “taken us by surprise,” “totally blown our mind,” “actually a pleasure,” “top notch,” award… Read the rest
This is the third in a recurring column in Outsourcing Buzz Blog focusing on thought-leadership in outsourcing, as seen from the perspectives of two industry leaders with unique views into the workings of how outsourcing deals really get put together – or why they don’t. Insights come from sourcing advisors, Joe Vales and Kerry Ann Vales of Vales Consulting Group and Vales Consulting Lite.
I asked Joe and Kerry Ann this question: When is “more” not necessarily “better” when it comes to outsourcing? Here are their answers with real-world examples.
Among the larger corporate buyers and service providers, there is… Read the rest
An article in Government Technology reports that the City of Minneapolis just renewed its contract for IT services with Unisys for another five years. It should add another $2.2 million in savings to the city’s coffers and will expand services to include cloud-based e-mail management, archiving, and retrieval services.
The article quotes Beth Cousins, the city’s interim CIO, as saying the partnership with Unisys is strong and very successful so far.
I’d say that’s almost an understatement. At Outsourcing Center, we selected the Minneapolis / Unisys relationship for two of the annual Outsourcing Excellence… Read the rest
Since outsourcing is a business model whose success depends on the relationship itself, how important is it that the top execs of both the client and service provider companies develop personal relationships with each other? Does it really help the outcome – the achievement of objectives – in any way?
Let me first put come context around “develop personal relationships with each other.” I’m not referring to the activities (although they are crucial for success) companies undertake where there is an offshore service delivery component and both parties need to visit each other’s countries and learn more about each other’s… Read the rest
Realistically, how long can an outsourcing service provider and its customer go without having a conflict? Though people often compare an outsourcing relationship to a marriage, it’s not the same when it comes to conflicts. For instance, in a marriage where the couple has conflicts over how to manage their money, they can open separate bank accounts. In an outsourcing relationship, the decisions each party makes – or wants to make – impact the other’s wallet; so conflicts are inevitable.
The way the parties handle conflicts can decide a relationship’s fate. Sure, they establish the basics for this at the… Read the rest
This is the first in a frequently recurring column in Outsourcing Buzz Blog focusing on thought leadership in outsourcing, as seen from the perspectives of two industry leaders with unique views into the workings of how outsourcing deals really get put together – or why they don’t. Insights in this recurring column come from sourcing advisors, Joe Vales and Kerry Ann Vales of Vales Consulting Group and Vales Consulting Lite.
This week I asked Joe and Kerry Ann this question: What should never be underestimated as valuable – but often is – when it comes to outsourcing? Their immediate… Read the rest
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