services procurement decision Archive

What Venture Capitalists Can Teach Us about Driving Transformation

The current way we buy complex services through a purchasing department is to come up with elaborate detailed requirements, which often can only be implemented over several years. We put these out to bid, forcing the vendor community to respond with far more detail and waterfall project plans laying out in excruciating detail how

Whiteboard vs Keyboard Services

I recently went to dinner with a CIO who talked about having two major service providers in his company’s portfolio – an Indian provider and Accenture. He told me he uses both providers aggressively. We were talking about the fact that both providers have similar rate cards, large numbers of offshore workers, and they

Transformation Services Procurement: What’s Wrong with this Picture?

For large transformation projects, the services world has locked itself into a world permeated with high dead deal costs, wasted solutioning, and long transitions of nine to 18 months where the client sees low value and tries to get the provider to absorb the cost as well as expensive consultants and legal fees for

Automated Services Need a New Licensing Structure

Service Delivery Automation (SDA) encompasses cognitive computing as well as RPA (robotic process automation). Software providers that provide SDA come to market with an enterprise licensing structure that basically requires the customer to license a number of agents for a specific length of time. But in using this licensing model, service providers unintentionally constrain

DevOps: Disruptive and Changing the Purchase of IT Services

Businesses now demand that IT departments dramatically change the velocity of the cycle time it takes to take ideas from concept to production – often from as long as 12-18 months to only four to six weeks. Organizations can’t achieve a change of this magnitude with just a change in methodology. To do this, they

Three Ways Services Customers Can Switch to as-a-Service Model

As the services industry begins moving into the as-a-service era customers look for providers that change their traditional services to make them elastic or consumption based. We at Everest Group have spent some time studying this, and we believe there are three key ways to change take-or-pay (fixed costs oriented) services and make them