How important is domain knowledge to outsourcing clients?
Clients demand better solutions, so they value subject-matter experts. They want a supplier that knows their business. Q: In your opinion, what are the ingredients for a successful outsourcing relationship? A: Both buyers and suppliers need to be honest with each other about their strengths and weaknesses. There needs to be trust, candidness, and transparency. The two parties have to be able to communicate about issues and create a forum for joint decision making. Flexibility is also key. Going in, the partnership may have one perception, but changing times may require them to adapt their model to meet the unique needs of the market. You also need the right governance model so both parties can achieve their objectives. Q: Can you describe that governance model? A: It has to touch every aspect of the organization at every level. That includes operations, customer service, technology solutions, financials, as well as the senior management team. A good governance program engages everyone
