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Pricing

Published on 31st March 2023

Rakesh Sangani

CEO & Founder, Proservartner

Rakesh is a recognised thought leader in business transformation, shared services and outsourcing. As the founder and transformational leader of Proservartner, he is also a qualified chartered accountant, certified project manager, and Black Belt Lean Six Sigma.

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Podcast Summary

The devil is in the detail when it comes to contracts, they must be well understood because this is where outsourcers often ‘win’. CEO Rakesh Sangani and Director Paul Morrison discuss how to excel at pricing in particular.

Paul Morrison

Managing Director, Proservartner

Paul has over 20 years of experience in outsourcing advisory with the likes of Hackett, Alsbridge and others. Paul leads the Business Process Outsourcing practice at Proservartner and oversees offshoring, deal negotiation, price benchmarking, GBS and global strategy.

Key themes covered: 

  • Pricing is not just the price on the contract, this is a perspective that helps outsourcers ‘wins’ because often you don’t know the scope when you initially sign, it could go up or down, so keep that in mind when creating contracts
  • Key metrics – The fully loaded price is key, not just rate cards. You need to understand the drivers of price and avoid levelling down (junior staff being subbed in for more senior experts).
  • Consider the price of the partnership, not just as a commodity, find a win-win situation for you and the outsourcer to discourage them from cutting corners, you don’t want to be the account nobody wants to work for! As the focus across businesses on ESG and Sustainability increases, GBS/Shared Services and Outsourcing centres will build solutions on how to support and improve performance in this area.