Outsourcing is a fact of modern business, but this element of the value chain often struggles with innovation, change and rapid feedback.

New Agile methods seem especially hard to use with suppliers, given a traditional procurement model based on controlling schedule, scope and budget. This thought paper considers how to evolve the outsourcing relationship in an Agile environment.

This paper looks at traditional and contemporary practices, reflects on the changing dynamics of the customer/supplier relationship, and identifies priorities for evolving the role of procurement in IT outsourcing. Major ideas covered include: how to identify the type of relationship required and how collaboration can be managed to deliver greater value; an evolved role for procurement in partnership with IT, and the contract that can help manage the new relationship.

You can’t do today’s job with yesterday’s methods and be in business tomorrow.

Sourcing for Agile – Contents

How the outsourcing environment has changed

The rise of agile methodologies

The impact of agile on traditional control methods

Matching relationships to environments

Engaging with suppliers

Driving the relationship

The evolving role of procurement

Getting the contract right

Placing suppliers at the heart of change

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