– In response to the ever-changing outsourcing market prospective and current buyers of outsourcing
services are finding benchmarking vital not only to managing pricing, but also
to improving their relationships with their providers, identifying best
practices, engaging in continuous improvement, and driving innovation,
according to Alsbridge Inc., a benchmarking, sourcing and transformation advisory
firm.
Alsbridge
Inc., today announced its latest report, Benchmarking in Outsourcing: Keys to Driving Long-Term Value, which
describes how benchmarks go beyond simply uncovering misaligned pricing and
services. “Benchmarking in outsourcing has evolved from a single-focused
pricing comparison into a richer, broader array of tools that is being
increasingly used by both buyers and providers to improve the process, the
relationship, and ultimately the outcomes,” says Chip Wagner, CEO, Alsbridge.
Although benchmarking
is becoming more common and accepted, it's still far from ubiquitous. In a
recent poll, Alsbridge found that nearly a quarter of respondents were not
making use of benchmarks at all, and another third were taking advantage of
them at comparatively infrequent intervals - every three-plus years. It was
also found that more than half of buyers of outsourcing services (and
perhaps even providers) are missing out on significant opportunities to gain
insight into the key points of contract value.
“In the wrong hands, benchmarking can be a difficult process,
even if all parties go into it with open eyes and positive expectations,” says
Alsbridge president, Dieter Thompson. “Every benchmarking effort must be
carefully considered, well-planned and effectively executed in order to produce
a meaningful, actionable outcome.” The report discusses in detail the following
benchmarking best practices:
•
Context is required
•
Be prepared for the unexpected
•
Carefully consider all inputs
•
Use the right benchmark
•
At the right time
•
Use the benchmark as a relationship builder
Employed carefully and properly, the value generated by actionable
benchmarks can drive significant return in performance, cost reduction,
innovation, injection of industry best practices and continuous process
improvement.
For further details the complete report can be downloaded here.
About
Alsbridge Inc.
Alsbridge is a global consulting firm that helps companies transform and
optimize the way they purchase, manage and leverage technology and business
processes. We have over 175 team members on 4 continents serving
over 200 clients a year including more than 40% of the Fortune 500.
Alsbridge has helped hundreds of companies reduce costs and get more value from
their vendors. Our experienced consultants leverage proprietary tools and
information databases to identify and engage the optimal vendors for your
situation, negotiate best practice terms at fair market prices, and improve the
way you work with your service providers. Alsbridge clients utilize the
most cost effective and value added sources globally for IT infrastructure
services, network carrier services, hardware and software, application support
and development, business processes and cloud services.
EDITORS/WRITERS: Journalists interested in covering the
above topic or interviewing one of our SMEs please contact:
Scott Tims
Office: 214-378-7970 ext. 278
stims@thepointgroup.com
www.alsbridge.com
