Review & Optimisation: Supplier Portfolio & Contract Optimisation
Outcome
Review of existing deal to determine risks, areas for improvement and options and implications for a change in service delivery.
Typical activities
Here Elix-IRR will review with you the existing deal (scope, value, and key commercial terms) to determine risks, areas for improvement, and, if appropriate, the options and implications for a change in service delivery (e.g. renegotiation of terms, potential for bringing services back in-house, or re-tendering).
- Review of existing documentation (e.g. especially business cases & contracts, but also management information, supplier performance reports, and relevant audit recommendations)
- Interviews with key internal stakeholders
- Workshops to identify and explore issues and risks, and assist in developing the Deal Analysis report
- Development of a Deal Analysis report to compare the current contract (and variations) with the original sourcing intent, fit of deal to current business objectives, and comparison to current outsourcing market practice & trends
- Test analysis findings and identify options for optimising the deal
To discover more about other aspects of our method and approach, see the Step by Step guide or use your mouse to explore any part of the chevron below:
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To find out more, contact us here.
Strategy Phase: Operating Strategy
An operating strategy which aligns with, and explains how, an organisation’s business strategy & activities will be delivered.
Strategy Phase: Sourcing Strategy
Practical, implementable strategy for using sourcing to deliver on operating strategy, including recommended sourcing methods.
Strategy Phase: Governance & Management Alignment
Understanding how to align the organisation and incentivisation of your senior management team and stakeholders to optimise success of your operating strategy.
Strategy Phase: Service Landscape & Objectives
Clear view of ‘As Is’ services situation in the context of the business and operating strategies, analysing service performance and issues.
Solution Design: Target Operating Model
A Target Operating Model (TOM) for operational functions and processes with a Transformation Roadmap with key activities and timelines.
Solution Design: Supplier Selection
Refinement of requirements and selection of appropriate partners to implement your strategy.
Solution Design: Organisation Design
Detailed organisational shape, roles and responsibilities defined.
Solution Design: Service Architecture
A framework for processes, applications and infrastructure performance ‘right tuned’ for the business, with SLAs/ OLAs/ KPIs aligned with the operating strategy.
Implementation: TOM Implementation
Successful implementation of the change programmes and establishment of the new Target Operating Model.
Implementation: Negotiation & Contracting
Contract(s) for a functional & non-functional specification to be delivered by the supplier, along with the client’s obligations.
Implementation: Transition Planning & Management
A Transition Management Framework for managing, planning and executing transitions at lower business risk.
Implementation: Service & Supplier Management Tools (Harmony)
Improved transparency – from data collation to management dashboard – and streamlined supplier/service management processes.
Review & Optimisation: Operating Model Review
Analysis of current Operating Model, and recommendations for improvement.
Review & Optimisation: Supplier Portfolio & Contract Optimisation
Review of existing deal to determine risks, areas for improvement and options and implications for a change in service delivery.
Review & Optimisation: Governance & Supplier Relationship Assessment
Reviewed supplier Governance arrangements.
Review & Optimisation: Service Catalogue & SLA review
Identification of areas of opportunity with Service Catalogue and SLAs.
Ongoing Cost Reduction & Benefits
Significant reduction in costs, with either cashflow savings or on-going run rate reductions, funding transformational and investment programmes.
