Podcast: Is Outsourcing Deal Pricing Going Down With the Market?
There is much speculation as to how the negative global economic conditions will drive down business process and information technology (IT) outsourcing prices. The premise is that outsourcing buyers, desperate to cut costs, are demanding lower prices and this, coupled with weakening demand, will drive prices down market wide. The argument is based on flawed logic. Accurately assessing the affects of market conditions on outsourcing pricing requires 1) distinguishing outsourcing from other types of third party services, 2) understanding that outsourcing enables cost reductions, and 3) analyzing the operating models of outsourcing service providers to determine their interest and ability to reduce prices.
Features: David Brown, EquaTerra's Managing Director, Financial Architecture Competency and Stan Lepeak, Global Director of Research for EquaTerra and EquaSiis Duration: approximately 9 minutes
