Outsourcing

Consultants Treating Outsourced Support Services like a Commodity is not the right way to go and can really result in a negative solution

Some of our consultant competitors are all about dispassionate cost cutting in their outsourcing RFP processes, treating office services outsourcing as a commodity. But the only people being hurt are you the customer, as these companies force suppressed wages on the staff that do the work, resulting in higher turnover, mistakes, low morale and service levels failure.

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The Fallacy About Cost Plus Outsourcing Contracts

There is a large national law firm outsourcing RFP project that is in progress now where the RFP project management vendor is prescribing a Cost Plus Model for the contracted services. Generally, labor costs make up 75-80% of an outsourcing services contract, so this is primarily in an attempt to “reign in” labor costs. The theory behind a cost-plus...

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Be wary of the Business of Buying your business and treating Outsourcing like a Commodity

There’s been a recent trend in the procurement of Business Process/Office Support Outsourcing Services where to compensate for stagnant growth, Outsourcing vendors are “buying” a client’s business, typically in a competitive displacement. This is achieved by paying a large up front “incentive” or cash disbursement to the client, for a three-four year services contract. This upfront fee, which is...

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Beware of a Disturbing New Trend in office support outsourcing services

A recent trend over the past several years in legal has taken shape where in particular large national law firms have partnered with Procurement Consulting firms such as (Profit Recovery Partners (PRC) to take a hard line negotiating stance with their incumbent office support outsourcing provider. Often the “negotiations” in the renewal process, which are based entirely by the...

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