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Outsourcing

Lessons from the field: Get more value and innovation from future outsourcing agreements by following these five design principles.

SERVICE

Outsourcing done well delivers results, improves service experience and achieves strategic business expectations. It can help your business succeed in an increasingly complex and changing world.

The journey begins with a vision that’s closely linked with your company’s core vision, mission and strategy.

It continues with a carefully constructed service delivery model and outsourcing strategy that considers these design principles:

One size doesn’t fit all: A single outsourcing or offshoring solution likely won't address your diverse needs. Different outsourcing approaches, providers and solutions may be required to support different parts of your business.
Deliver on expectations: Ensure that the expectations of your outsourcing model align to the operational characteristics and responsibilities of the delivery teams and meet the objectives of each party.
Redesign your processes: Realign your retained organization’s processes to operate efficiently and effectively in an integrated fashion with your service providers. This often requires the redesign of touch points and automation between all participants and stakeholders in the delivery model, including end users.
Construct flexible agreements: Technology and business needs can evolve rapidly. Your outsourcing contracts should be flexible enough to adjust quickly to new capabilities so that you can benefit from long-term value realization and maintain service delivery continuity.
Incorporating benefits from disruptive technologies and solutions: Effective outsourcing increases the speed to value by integrating disruptive technologies and service provider solutions during transition and transformation.

Experienced, trusted KPMG advisors can help you validate outsourcing strategies, understand costs, establish pricing strategies, build the business case, align stakeholders, evaluate options, improve current state, guide you through vendor selection, contracting, and negotiation—and lead you through your transition and transformation journey. We also have services and tools to help companies establish 1^st generation outsourcing and assist 2^nd, 3^rd or 4^th generation outsourcing contracts so that you can manage that work more effectively and maximize performance and contract value.

KPMG advisory services span the full lifecycle of outsourcing services, offering support to help your organization transform with the following offerings:

Assessment & Strategy Development: Assessment of current state delivery and pain points, comparison to leading practices and defining future state vision and guiding principles

Outsourcing Transaction Support: Facilitate go-to-market approach including: implementation roadmap, Service Provider selection, RFP development, inbound/outbound due diligence, Service Provider evaluation and contract document preparation

Contract and Negotiation Support: Support the negotiation process by: developing negotiation plan, facilitating negotiations with Service Providers and driving completion of commercial documents

Transition Support: Assess Service Provider transition plan for readiness, establish transition program office, facilitate Service Provider and client transition, drive stabilization and monitoring

Vendor Management, Integration & Optimization: Design and build governance processes and organization; integrate service delivery models across a multi-vendor environment; contract and relationship remediation and optimization

Business Case and Value Realization Support: Develop financial models to support the evaluation process during the transaction and models to track value realization post execution

Get started now! Let us show you how outsourcing can improve your organization’s service delivery, quality, and value.