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Slideshow: Multisourcing for Performance and Efficiency

CIO magazine and Unisys recently hosted a series of breakfast briefing sessions in Sydney and Canberra on the topic of Multisourcing for Performance and Efficiency

  • Q&A session: “I don’t think it’s nirvana to focus on getting people to work together," said Diane Dromgold, Managing Director of RNC Global Projects, during the Q&A panel session that followed the breakfast briefing. "I think nirvana is the 'hope' method of management, where you put a contract in place and hope that everybody will play nicely. What we’ve been talking about is how to work with real problems and how to overcome them, rather than the fantasy that it everything will be ok.”

  • “Sit down with your counterparts and talk about the covert cultural issues, like what happens when someone disagrees,” said Diane Dromgold, Managing Director of RNC Global Projects. “You’ve got to trust each enough to have a conversation about what’s really happening.”

  • Outsourcing is not only changing, it's also becoming more complex. From basic IT services to business processes, organisations are increasingly obtaining services and capabilities from a shifting blend of internal and external sources to meet goals for cost efficiency, agility and growth.

  • “SLAs are a good idea because they tell you what you’re being measured against,” said Tony Henshaw, Vice President and General Manager, Global Outsourcing and Infrastructure Services, Asia Pacific for Unisys. “SLAs should reflect real business needs. A properly-crafted SLA should reflect the cycle of your business.”

  • "A multisourced environment brings with it a new set of management and business problems," said CIO Editor Matt Rodgers. "How do you successfully keep track of a multitude of contractors all while ensuring that your suppliers and internal teams are working effectively together?"

  • Multisourcing — where organisations mix and match various kinds of providers to obtain better services — goes beyond quick fix cost-cutting, enabling capability-building, global expansion, increased agility and competitive advantage.

  • From basic IT services to business processes, organisations are increasingly obtaining services and capabilities from a shifting blend of internal and external sources to meet goals for cost efficiency, agility and growth.

  • Colin Haughton, Assistant Secretary, ICT Services, Systems Division, Department of Immigration and Citizenship, shared DIAC’s experience in moving from a single-source to multisourced environment.

  • “We found that the most effective tool to help align multisourcing arrangements is modelling,” said Tony Henshaw from Unisys. “It doesn’t matter what form of modelling you use al long as it gives you visibility of responsibilities, visibility of outcomes, a system-wide view and the ability to look for the impact of changes before you actually undertake any action.”

  • Q&A session: “One thing that SLAs do well is to show how important a particular item is to your organisation and communicate that to your service provider,” said Tony Henshaw, Vice President and General Manager, Global Outsourcing and Infrastructure Services, Asia Pacific for Unisys. “SLAs are about focusing the attention of your service provider on what is important to your business.”

  • “Successful multisourcing is about having a strategy that is linked to business strategy and is constantly monitored by an effective enterprisewide governance system,” said Colin Haughton, Assistant Secretary, ICT Services, Systems Division, Department of Immigration and Citizenship.

  • "It’s not enough to have a responsibility matrix -- you have to have a governance structure that establishes who’s in charge in certain situations and how you work together,” said Tony Henshaw from Unisys.

  • “When we put multisourcing agreements in place we need to remember that every single person involved is coming from a team and a culture of their own,” said Diane Dromgold, Managing Director of RNC Global Projects

  • Q&A session: “Successful multisourcing is about having a strategy that is linked to business strategy and is constantly monitored by an effective enterprisewide governance system,” said Colin Haughton, Assistant Secretary, ICT Services, Systems Division, Department of Immigration and Citizenship.

  • “Any sound multisourcing strategy needs to encompass a number of facets: traceability through the organisation, clearly defined responsibilities and a strong governance structures,” said Tony Henshaw, Vice President and General Manager, Global Outsourcing and Infrastructure Services, Asia Pacific for Unisys.

  • “DIAC started developing principles and stopped worrying about contracts; those principles made a big difference and have since been incorporated into our integration charter,” said Colin Haughton, Assistant Secretary, ICT Services, Systems Division, Department of Immigration and Citizenship.

  • Q&A session: “How mature do you think an organisation has to be in understading it’s own culture in order to be able to properly manage the culture of its multisourcing partners?”

  • “There’s no point having a high-level governance forum if the people there don’t have the right to commit their company or organisation to spend money on your behalf, and to make and honour commitments to operational outcomes,” said Tony Henshaw from Unisys.

  • One emerging governance framework is Gartner’s multisourcing service integrator model. “Once you acknowledge there are shared responsibilities, you try to map what those responsibilities are and get the service providers -- including your own inhouse service providers -- to work together through an interaction charter,” said Tony Henshaw from Unisys.

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