Is your organization ready for outsourcing? It’s an important question, and one that too many executives fail to consider.

Oftentimes, an organization makes a decision to outsource and leaps straight into the RFP process without looking back. A well thought through process should focus on a comprehensive evaluation of the full range of sourcing options available, rather than simply churning out standard RFPs focused solely on reducing vendor pricing against cost points that may or may not have relevance to the success of the business or the vendor service delivery.
 
Conducting a thorough and deliberative Feasibility and Strategy phase before developing the RFP will help you (A) determine whether you should be outsourcing the function; (B) if so, how much of it; and (C) where the work should be done.

Driving a decision to Outsource or use Shared Services for your business transformation requires a detailed view of your total costs based on your current and future business goals. Our strategy development defines your business needs and evaluates the strategic service delivery range for the best Outsourced and Shared Services relationships. In this phase, we assist clients by:

• Identifying the need and interest in sourcing each functional area
  
• Understanding the basis of the targets set by the organization
  
• Attaining a high level assessment of the scale of each functional area
  
• Estimating the likely costs associated with outsourcing
  
• Investigating the options available (both outsourcing and insourcing) and comparing the benefits each will yield
  
• Assessing the positions and expectations of the key stakeholders
  
• Analyzing the risks, their likelihood of occurrence, and ways to mitigate them
  
• Identifying the potential outsourcing service providers and their level of interest
  
• Coaching and supporting the client executives on sourcing strategy

Organizations should also bear in mind that their sourcing strategy will need to be flexible as the business environment, requirements, and assumptions change. Developing a global sourcing strategy is a complex endeavor and depth of experience is a key factor. At the end of this phase, we present clients with a variety of options and our recommendation as to the optimal solution.