Outsource It!

Negotiating the Contract with Selected Vendors

• Research the industry and identify target rates, terms, and conditions.

• Set up your negotiation team, define your position, and identify alternatives—your BATNA (best alternative to the negotiated agreement) in particular.

• Gather as much information as possible about your vendors, alternatives, and expected outcomes.

• Identify risks associated with your preferred destination and vendors.

• Create drafts for your contractual framework, including a master service agreement and a statement of work. Include risk mitigation steps for the risks you have identified in your drafts.

• Negotiate the contract with your vendor. Aim for win-win negotiations and mutually beneficial outcomes.

• Make internal ...