Most organisations leave it too late to start planning and executing RFP processes to replace existing outsourcing contracts. If you want a way to avoid the last-minute rush, read on.
We’ve lost count of the number of times clients have called us in to run their RFP processes, to renew or replace an existing outsourcing contract, too late.
What does too late mean? It means leaving insufficient time to assess the market, collect up-to-date business-relevant requirements, manage a robust selection process and potentially to transition services to a new supplier before contract expiry.
In practice, we find that anything less than 18 months introduces significant business, commercial and operational risk.
But why wait until the final 18 months of a contract to get ready for the next one? At Arundel Advisers we turn this on its head and recommend that planning for the next contract should start when the ink is drying on the first. Contract refresh or replacement should be a process not an event, particularly if you want to make the most of lessons learned and new developments in process management and technology.