What steps and initiatives would you implement to transition a T&M professional services business to a managed services approach?
Provide specific examples of the types of offerings you’ve created or led the delivery of in your career.
We created and operated a managed service organization for a global automotive company. We approached it as we would any new business venture…strategy, resources, operations/organization, economic performance.
Our value proposition articulated the following overall business outcomes:
· Low risk / high speed adoption/roll-out of SAP across their theatres of operation,
· Continuous improvement/enhancement of capabilities,
· Stable operational reliability,
· Talent/staffing/organization best practices
· Total cost predictability and ongoing/improving scale based economies
Our relationship (2 years) prior to this managed service model was a mixture of fixed fee and time and materials based large scale (8 digit) engagements for SAP template development, implementation and roll-out.
As the global leader of the practice and the senior client relationship executive I was intimately involved with the formulation of the above and our transition to it.
Crafting the SLA metrics and transitioning existing engagements to the MSO were important initiatives. Also, transitioning our project based staffing model to the managed service arena challenged us to alter/enhance our talent management policies and practices.
The monitoring/notification/reporting of performance initiatives represented our initiatives of highest client impact. We designed/implemented a dashboard framework to be certain that client executives continued to derive comfort and confidence from the MSO. The same framework was part of the operations management metrics set and helped us identify ways to derive economies of scale based cost reductions over time (very important in the automotive industry).
….Such help is increasingly offered through a partnership approach where, according to Wayne Bartel, global leader of PricewaterhouseCooper’s Automotive Practice, client and consultant ‘stand shoulder to shoulder.’
Bartel says consultants must contribute to the creative process through closer collaboration with clients, but ‘speed of implementation – how quick a program can be brought to fruition – is becoming increasingly critical.’