Why Read This
Sourcing executives trying to strengthen their relationships with business and IT users can do so by helping the users understand not just scope but the financial implications of their choices. One key way to do this is to help users understand the different pricing options for consulting and systems integration projects. There are four main pricing models used by IT consultants and systems integrators: time-and-expense, fixed-price, risk/reward, and results-based (or value-based). Forrester has developed a tool that can help you select the appropriate pricing model for your specific project, helping you increase the effectiveness of your negotiations, the success of your engagement, and the partnership between sourcing and internal users.