Strategic Outsourcing

Sourcing programs can be extremely large investments, with huge potential for transformational value creation as well as significant potential risks, so it is important to receive independent advice on the most appropriate strategy and implementation. As companies redefine their worldwide operating models and strengthen their core capabilities, they depend on a wide range of sourcing solutions to give them access to global talent, scale, and advanced services. Our dedicated team enables clients to deliver their services and operations in a scalable and cost-effective manner that fully captures the potential of global sourcing. We provide support at every stage, from defining global operating models to strategy design to successful implementation and value capture.

We work in an efficient and cost-effective manner, tailoring our role to the client’s needs.  When appropriate, we can also call on the tremendous range of resources, both in the United States and in our numerous offices around the world, allowing us to respond immediately to any matter that may arise. We have handled a wide variety of outsourcing transactions, ranging from the outsourcing of a specific business process to the enterprise-wide outsourcing of all software development and support. 

Our experience also stretches across a broad range of industries, including financial services, insurance, telecommunications, energy, consulting, and infrastructure. We also have experience representing both vendors and customers in outsourcing transactions.  As a result, we understand the perspective that each side brings to the table and can negotiate agreements knowing how the other side is likely to react to specific positions, and the basis for their position. 

The Value in Outsourcing

The focus of information technology outsourcing has shifted from just efficiency improvements to more comprehensive value creation. Companies are looking to their outsourcers for access to talent they could not otherwise afford or attract. They want outsourcers to help them create business innovations with technology. Therefore, as deals move from transactional to transformational, the market trend is to move from supplier relationships to partnerships with vendors whose pricing mechanisms are more innovative.

Information Technology Sourcing Strategy

Outsourcing strategy should be part of an overall IT sourcing strategy that describes what will be done in-house, what should be done by external providers, and why. Outsourcing works best when agreements are tailored to create value for both the clients and the outsourcers. Since we refrain from offering outsourcing itself, we act as an independent, advisor, providing a rigorous analytical approach to outsourcing decisions.

It is critical to approach outsourcing as one would approach any other large transformation project—with a strong focus on change management and rigorous program management. No less important is understanding the economics of all parties to optimize the value created and then apportioned through the deal. Our field-tested approach, which deals with design and implementation, is backed by business expertise.

 

Executive Leadership

 Mr. James Moore

Mr. James Moore

Related Practices

Government agencies are among the most complex organizations in the world. We help governments and public-sector organizations design and implement large-scale strategies that promote economic development and inclusive growth.

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