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January 8, 2016

Back to Basics – SLA

How is a SLA contract constructed? What differs SLA from KPI? How to properly construct a catalogue of outsourcing services? What penalties are worth incorporating in an outsourcing contract? With this article we start a cycle of educational publications by Piotr Rutkowski, Managing Partner of SourceOne Advisory.

Outsourcing already became a commonly used business tool, thank to which managers-optimize business processes of the enterprise. Does it mean we have an in-depth knowledge how to optimally and safely implement outsourcing in our own companies? On the side of the suppliers – certainly yes. On the side of buyers – not necessarily.

Talking from my professional [...]

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October 27, 2015

Mega outsourcing contracts – some key advice (Poland)

Piotr Rutkowski, SourceOne Advisory

The Polish outsourcing services market has been around for almost two decades and perhaps now we can finally say that it has become a mature market. There is however one important issue that continues to distinguish us from more developed countries in the area of outsourcing (ex. the USA, Great Britain). This issue is our small experience in regard to so-called “mega-contracts”. The value of these agreements is usually in the hundreds of millions of PLN and aside from outsourcing services,they also cover the building of special financial models to settle services, taking over large groups of employees, and the buyout by the outsourcer of [...]

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July 16, 2015

Can contracting be Outsourced?

Can contracting be outsourced? That was the topic I discussed this weekend with Henrik Lando, Professor of Law & Economics at Copenhagen Business School and David Karabinos, co-founder of EquaTerra and a leading expert in outsourcing.

David made the following observation about corporate outsourcing strategy: “Imagine a two-by-two matrix with core and non-core activities on one axis and Do-Well and Don’t-Do-Well on the other. If you do a true and accurate analysis of what your company does, and plot them in the matrix, then you have a better feel for what you should outsource.”

Our discussion was driven by my response that, if you believe outside observors (The [...]

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July 15, 2015

Contracting for Innovation

Innovation has been prized within business for as long as I can remember. However when applying this science, process and culture to the outsourcing environment, it is clearly still in its infancy. There is seemingly a major lack of understanding of how innovation can be realised. That’s not surprising: innovation is complex and a bit like ice cream in that it comes in many different flavours. That said, IT leaders must take a systemic approach and ensure innovation is integrated holistically across all echelons of their business – again, no easy feat. In contrast to the lack of knowledge internally today, there doesn’t seem to be much in terms of external help either: many [...]

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