How to support clients and vendors in IT outsourcing engagements: the different roles of third-party advisory services

Abstract

The outsourcing of information technology to external providers has been a phenomenon for organizations around the world since decades. The main reasons for this trend are, for example, cost reductions through scaling, the temporary inclusion of specific skills in the own organization as well as the joint development of innovative solutions with an external partner. The client organization “RetBa,” a major private insurance company, was facing serious quality and performance issues in the delivery of the workplace services. Hence, in 2005 they decided for an outsourcing solution aiming at moving the responsibility for managing IT workplace services for over 50,000 seats worldwide to the external service provider “EuTu.” Over the years, the outsourcing project faced several problems due to the lack of performance and delayed delivery of services by the service provider EuTu. To solve these quality issues and avoid further failures, in 2011 RetBa appointed Scaleit Consulting, a third-party advisor. Scaleit Consulting had the responsibility to identify the causes for these issues, revise the workplace strategy, and support RetBa in the communication with the service provider.