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 "When times improve and the supplier starts to share the profits, the CFO will often try to make the CIO renegotiate the deal..." 

GREG JONES, IT CONSULTING, PA CONSULTING GROUP

The evolution of outsourcing

Guy Clapperton
Information Age
14 June 2010

Greg Jones, IT change management specialist at PA Consulting Group, has commented in an article in Information Age on how demand for clearer value is driving diversity in IT services.

In the article Greg warns that an outcomes based approach means that suppliers share in rewards as well as risks, a disadvantage when times are strong.

Greg says: "When times improve and the supplier starts to share the profits, the CFO will often try to make the CIO renegotiate the deal, because suddenly they are paying out more than the market rate for those services. The last thing a CIO wants is their CFO saying ‘We don’t want to share our profits with them this year!’"

You can read Greg’s article in full here.


To visit PA's pages on CIO challenges, click here.

To visit PA's pages on IT sourcing, click here.

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