Best Practice Report

Economic Pressures Reshape Ideas About Outsourcing Deal Financing Options

October 19th, 2009
PP
Paul Roehrig, Ph.D.
With contributors:
Christine Ferrusi Ross , Antonin Shanahan

Summary

Extreme financial pressures can make people — and companies — explore options they may not have considered in more flush times. Even though the credit crisis has hit almost every firm in some way, many major IT service providers still have the means to help take the near-term financial sting out of outsourcing deals (and other major technology investments) via various financing options. These options can help client firms gain additional value from an outsourcing deal investment, but sourcing professionals need to go into these transactions armed with information and a strong negotiation position. Forrester surveyed representatives from several leading IT service provider and outsourcing deal advisory firms to get a practitioner perspective about clients getting cash injections from IT service providers in an outsourcing deal.

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