There is an increased enterprise propensity in the market for committed outsourcing outcomes and the same is manifesting itself in increased instances of outcome-based pricing contracts. However, what construes as “outcome” can vary across contracts. Some points to note: “Outcomes” can range from clearly defining tangible end-states, and/or clearly establishing scope, milestones, and deliverables in […]
In managed services contracts, we continue to draft up and get equitable agreement for a 3.0%-3.5% global COLA i.e., applicable to the managed services delivery model incl. the underlying global delivery location portfolio agreed by both parties. The expectation is that the above 3.0-3.5% should be explicitly stated as part of the fee assumptions but […]
The mega deals market (>$100M TCV) is shrinking. In general, enterprises are reconsidering large scale transformation investments, breaking down larger programs and staggering them over budget cycles based on priority or predictable RoI. Exceptions may be seen in the Telecom, Transportation, Utilities, Mining, and Energy verticals spurred by the infrastructure spending bill. Small to mid-sized […]
One still sees so many enterprises locked in long term contracts, punitive termination penalties, proprietary technologies, and inflexible financials. Such relationships are the ones where there is seldom any innovation. The provider sees no additional gains to be made from a client stuck in one’s chair whereas the client sees no reason to invest more […]
This may be a bit of memory jog as this is not about the automation BOT that has been the top of mind recall in recent times but rather the good old, Build-Operate-Transfer (BOT) that is making a quiet but definitive comeback to the boardroom discussions. During the pandemic and post ‘The Great Resignation’, firms […]
Staying in a marriage has its benefits in the current climate, but at what cost? Yes, the global growth sentiment is bearish—painful inflation, stocks nosediving, supply chain bottlenecks, war, and whatnot. Why take-on additional risks of switching vendors, reopening contracts, and teasing transformation in this climate, correct? Correct! But have you set boundaries for your […]
