A new way to collaborate to create business value

Bellinger, Alan
May 2003
IT Training;May2003, p6
Trade Publication
A concept called gain-share, is being incorporated into contracts with external service providers (ESPs). Under a gain-share agreement, the rewards directly relate to the business value of the project. The usualapproach adopted by the ESP for charging for the services provided by it includes “cost-plus”: identify the costs and add on a margin for profit. But gain-share is a pricing model thatis value-based, which could mean an ESP would make a loss on the service provision if it doesn't generate value.


Related Articles

  • The value of outsourcing. Creber, John // Computer Weekly;12/7/2004, p32 

    This article argues that when managing outsourced relationships, it is vital to use all available means to demonstrate to the business that the outsourced provider is delivering value. Commonly these include business projects, innovation, continuous improvement and, a rare commodity,...

  • THE IMPACT OF GLOBAL IT OUTSOURCING ON IT PROVIDERS. Murthy, Subramanyam // Communications of the Association for Information Systems;2004, Vol. 14, p543 

    This article examines the impact of Global IT Outsourcing on Information Technology (IT) firms from the off-shore sourcing perspective. IT Providers are defined in this article as companies that produce IT as opposed to companies that consume IT. To assess the impact of outsourcing on such...

  • Truth, lies and outsourcing. Clark, Robert // Telecom Asia;Apr2004, Vol. 15 Issue 4, p14 

    Discusses the outsourcing of various functions by telecommunication operators in the Asia Pacific Region. Explanation of the notion of core competence; Ways in which telecommunication companies are major providers of outsourcing to large customers; Main categories of carrier outsourcing;...

  • INFORMATION TECHNOLOGY: THE EVOLVING DIMENSION OF BUSINESS. Mashaw, Bijan; Pefkaros, Kenneth // Journal of International Business & Economics;2013, Vol. 13 Issue 4, p35 

    Over the last century, no technology like computer technology has had such a dramatic impact in business functions, operations, and strategies. The businesses organizations need to constantly monitor and revise their strategies to stay competitive. This paper analyzes the impact of the Social...

  • CAN ANYTHING BE DONE ABOUT OFFSHORE OUTSOURCING? Kilbane, Doris // Electronic Design;6/14/2004, Vol. 52 Issue 13, p40 

    The article focuses on the perils of offshore outsourcing for engineers, the companies that hire them, and the United States overall. The rippling affect of offshoring initially displaces engineers in the U.S., which is foremost an economic loss. Further outstretches of that ripple reveal a...

  • IT Firm Preferred Systems Solutions Continues Acquisition Spree. Biesecker, Calvin // Defense Daily;12/11/2014, p1 

    Information technology services provider Preferred Systems Solutions (PSS) on Tuesday said it has acquired federal services provider Government Contract Solutions (GCS) in a deal thatÂ…

  • YOUR SHOUT. Richards, Chuck; Henry, Bill; Eckley, Christian // Computer Weekly;5/3/2005, p30 

    This article focuses on true savings of outsourced information technology projects. In response to the Deutsche Bank's claim that companies can halve their IT costs by outsourcing to India. The global financial services sector will always need to balance cost, location, culture and risk to gain...

  • TOP TECH DEALS.  // Bank Technology News;Feb2006, Vol. 19 Issue 2, p13 

    The article reports on major deals between financial services companies and information technology providers as of February 2006. Lehman Brothers purchased Townsend Analytics, a vendor of a multi-broker, multi-asset, direct market access system. Symantec bought IMlogic a seller of enterprise...

  • Successful outsourcing. Sparrow, Elizabeth // Computer Bulletin;May2004, Vol. 46 Issue 3, p22 

    Big UK companies will allocate 39% of their budgets to external services this year. But contracting out IT is not all plain sailing, and organisations need to look way beyond simple cost savings. Consultant Elizabeth Sparrow MBCS presents some practical tips for success


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics