Contracts, Outsourcing &
Multisourcing
BPE/BPI
Bringing a Winning Tradition to the Procurement Game for Buyers
For companies in need of establishing or improving their procurement and outsourcing operations, we employ best practices taken from the Fortune 500, multi-nationals, the US Government, and best practices from our participation in professional contracts organizations. In the new business world of Sarbanes-Oxley, Chief Ethics Officers, shareholder suits, and heightened awareness of good corporate governance, using a model that combines fair competition, best value guidelines, and management for compliance with corporate policies and external regulations makes a great deal of sense.
Value is the object of the game in procurement. Competition is the best game plan for winning value. The procurement playing field is tipped back in favor of buyers through leveraging the competitive RFP solicitation and award process. Multiple award contract programs are used to retain the best providers, then keep them competing for business, continuously pushing down pricing and up shifting quality using a method we call Continuous Competitive Procurement (CCP).
James River's Procurement Contract Methodologies
James River's Continuous Competitive Procurement Process
Multi-Winning Through Multisourcing
Multi-sourcing or multisourcing, an outsourcing model that is being used more and more in place of single provider outsourcing, is an example of using a competitive procurement scheme to maximize services procurement value. While the outsourcing industry credits Gartner Group for coining the term in 2005, in reality sourcing out a business function to several vendors is a long standing practice. Using multi-vendor supplier arrangements and multi-tier project teams engages providers more adeptly, reduces risk exposure to poor service performance, and keeps buyers agile, not captive, in their outsourcing relationships, in the end maximizing value. What is new is the challenge of orchestrating provider relationships and services delivery, and integrating services with the customer business, in a business world of increasing complexity and change.
James River keen use of multi-provider contract management practices such as Operation Level Agreements (OLAs), and Flow Down, Hub-and-Spoke and Multi-Partite contract architectures, enable companies to realize the advantages of multisourcing efficiently and effectively, without creating large and expensive outsourcing management bureaucracies.
James River Multisourcing Strategy Matrix
Drawing Up a Winning Sales Contracts Playbook for Sellers
Our mission in both IT vendor and in non IT business services provider organizations is developing and implementing standard contracting business processes and documents that maximize existing corporate staff and resources to achieve greater revenues, stronger and longer revenue streams, shorter sales cycles, and better customer account relationships.
James River places Sales people front and center in the contracting process. Our Sales Playbook and other sales contracts methodologies empower Sales personnel to take the lead in handling contract negotiation, signature, and changes and disputes by approaching these phases of the sales cycle from an account management perspective. Playbooks, which have become standard operating procedure among world class companies, utilize predetermined standard contract libraries and fall back clauses, providing an aggressive and disciplined yet open-to-compromise framework within which to agree terms and close deals.
James River's Organic Contract Development (OCD) methodology takes a ground up, integrated approach to the development of SaaS, management consulting, and other sales contracts. Product development, marketing, risk management, operations and other business areas in a company are brought together to jointly develop contracts. Terms and conditions are customized for a company's business model and unique products and services. Techniques for presenting and discussing contracts are introduced that avoid lawyers and acrimonious negotiations.
Our mission in both IT vendor and in non IT business services provider organizations is developing and implementing standard contracting business processes and documents that maximize existing corporate staff and resources to achieve greater revenues, stronger and longer revenue streams, shorter sales cycles, and better customer account relationships. James River's Organic Contract Development (OCD) methodology takes a ground up, collaborative approach to the development of SaaS, management consulting, and other sales contracts. Terms and conditions are customized for a company's business model and unique products and services. Techniques for presenting and discussing contracts are introduced that avoid lawyers and acrimonious negotiations.
James River's Organic Contract Development Steps
Winning at Outsourcing By Knowing the Right Processes
Outsourcing benefits are not a “lead pipe lock.” If the right strategies and processes are not followed, outsourcing can easily turn into a colossal failure. Outsourcing has become a very complicated business. How much to outsource, where to outsource and with whom, how much ownership over the work should be kept, and what carrots and sticks should be used with providers are some of the many questions that need answers.
James River uses its Purpose Driven Outsourcing ™ methodology and its Outsourcing Contracts Layers Analysis (OCLA) tool to guide businesses in implementing and managing outsourcing to meet goals. This means making outsourcing decisions like trading service level management for lower cost and greater sourcing agility, or adopting an outsourcing model that promotes innovation while at the same time recognizing the greater risks involved. Important outsourcing terms like scope, pricing, change, risks and responsibilities, and cooperation with other providers are addressed in the contract.
James River’s Outsourcing Approach Example