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OUTSOURCING PROCESSES


The most influential factors in how an outsourcing process is managed, how governance is structured, and the role of the Vendor Manager will be are:

  1. How the lifecycle responsibilities are allocated (who selects, who manages)
  2. Extent to which project or program is integrated into the business
  3. Whether it is a project with deliverables and timelines or a program with metrics
  4. The nature of the relationship - transactional or partnering
  5. Size, complexity, and budget of the project
  6. Risks and implications

At the smaller end, there are straightforward projects initiated, set up and managed by an individual or a small project team. This individual or team is typically a professional or subject matter expert in the field. At the other end of the spectrum, are large multi-million dollar programs (predominantly IT) where each step of the process is handled by a different individual or team.

Individuals managing small projects and large programs have different responsibilities, discretion and learning needs. These needs fall into two major categories:

  1. An individual managing a specialized project from start to finish

  2. An individual assigned the role of day-to-day management and ensuring the quality of delivery of outsourced services to their company

While the phases of the outsourcing lifecycle are similar for small and large projects, the amount of complexity and work involved require different approaches.

We have developed the following frameworks to help managers understand the forms and stages of outsourcing. Our clients consistently tell us that these tools are very helpful.

Outsourcing Matrix – click Matrix to quickly view grid, or full Description

Outsourcing Lifecycle – click Lifecycle to quickly view, or Description to read more

Competency Model and processes - click to view Capabilities Description

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