Ongoing access to innovation
As we mentioned earlier, one of the biggest and most frequent complaints levelled by outsourcing clients at their suppliers is a perceived lack of innovation delivered. They believe that ongoing and ready access to innovative thinking and service delivery is part and parcel of the outsourcing deal.
The reality is that this was usually an undocumented expectation when the deal was negotiated, because the client was so focused on cost reduction. And cost reduction and innovation do not make easy bedfellows. So trying to force the two together once the deal has been agreed is difficult, to say the least.
When we carry out audits on relationships that break down, we find that an 80/20 rule applies. Generally, the client ...
Get Smarter Outsourcing: An executive guide to understanding, planning and exploiting successful outsourcing relationships now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
