Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group

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Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group
Davies Consulting

Outsourcing
Making the right outsourcing decisions
Expert input to help shape your outsourcing strategy and tactics

davies-group.com/consulting      @DaviesConsultng   DaviesConsulting
Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group
Davies Consulting | Making the right outsourcing decisions

Rethinking the rationale for outsourcing
                                                                                                                                                   Rethinking the rationale

Business leaders are no strangers to outsourcing, nor the fundamental reasons for doing it: driving down costs for high-volume repetitive          Our Approach
tasks and accessing specialist skills rather than acquiring or developing them in house.
                                                                                                                                                   Our Solutions
In today’s competitive landscape, those reasons remain just as compelling. Businesses must navigate the complex path between responding
to long-term trends around customer expectations and addressing short-term imperatives to open new channels and find efficiencies:
                                                                                                                                                   Why Davies Consulting?
outsourcing fits in each.
But in recent years, the case for outsourcing has begun to shift towards other vital attributes: flexibility and continuity.                       The Five Pillars

                                                                                                                                                   Our Clients & Testimonials
New models, new opportunities
The emergence of new outsourcing delivery models, such as using the talents of gig workers to enhance customer service, has led to a rethink
of what tasks and services can be outsourced.
At the same time, a wealth of new business process outsourcing (BPO) providers have entered the market, offering on-demand models
instead of the inflexible monolithic contracts that characterised many older managed service relationships.
These approaches were already gaining ground in every sector when the COVID-19 pandemic arrived. Overnight, organisations had to adapt
their ways of working. Some had to cope with soaring demand, far beyond normal seasonal peaks, while capacity was shrinking.

                 The need for a more flexible operating model had never been more apparent
                 – putting a fresh focus on how outsourcing can be used to build resilience and
                 reduce risk.

      The Time To Act Is Now
      Whether your priority is driving greater value from existing relationships, finding partners that can offer a higher
      quality service or making more strategic use of outsourcing across the business, there is right now a major
      opportunity to be gained through revisiting your outsourcing approach. We are ideally placed to help you make
      the right decisions.
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Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group
Davies Consulting | Making the right outsourcing decisions

Our Approach
                                                                                                                                                      Rethinking the rationale
Our outsourcing services are based on applying our experience to help our clients make the right decisions.
                                                                                                                                                      Our Approach
Our expert team bring a robust commercial focus to the sensitive issues around outsourcing. We’ll help you benchmark current provision,
explore the merits of different models and providers and – when you’re ready to act – can support you throughout the procurement and                  Our Solutions
transition process.
                                                                                                                                                      Why Davies Consulting?

                                                                                                                                                      The Five Pillars
        What, where, who and how?
        Our outsourcing projects typically start because clients are facing big questions:                                                            Our Clients & Testimonials

        • What activities can you outsource and what should you outsource?
        • What’s the best way to deliver these services – in-house, onshore or offshore, or a combination?
        • Which locations (where) and providers (who) should you be considering?
        • How much more can you save – and how much more can you gain, in terms of sales, loyalty or simple
          satisfaction, by improving the customer experience?

For some, the need is for focused insight on a single issue: a potential change in provider or switch to offshore. For others, there’s a bigger
picture, like working out how outsourcing could help you achieve your customer experience vision – what we call your North Star – or how
it will fit within a new operating model.
Whatever your question, we’ll work with you to understand your priorities and concerns, and then gather a range of evidence to inform our
recommendations.

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Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group
Davies Consulting | Making the right outsourcing decisions

Turning strategy into action
Drawing on our team’s extensive first-hand experience procuring and managing outsourcing relationships, we can advise you on procurement,                Rethinking the rationale
transition and supplier management.
                                                                                                                                                         Our Approach
For instance, we’ll help you run a fair and transparent RFI and/or RFP process, using our knowledge to accelerate the process wherever possible.
                                                                                                                                                         Our Solutions

                Though our wide-ranging experience means we know the outsourcing market exceptionally                                                    Why Davies Consulting?

                well, we are wholly independent of providers. That means our recommendations are based                                                   The Five Pillars
                on what’s best for your business and the issues you’re seeking to address.
                                                                                                                                                         Our Clients & Testimonials

At home with new delivery models
The outsourcing market has evolved rapidly in recent years, as providers have embraced remote working and gig working to expand their available
talent pool and introduced on-demand services that give their clients greater flexibility.
That has meant those providers have already had to adapt processes to manage and support a dispersed workforce – the challenges that
organisations with in-house teams, now working remotely, are still grappling with.
Our team have worked with a number of these specialist providers and advised some of our clients on how to harness gig workers to add a new
dimension to their customer experience. We’ll cut through the noise to help you understand the real opportunities – and can support you in setting
up the right contracts.

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Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group
Davies Consulting | Making the right outsourcing decisions

Our Solutions
                                                                                                                                                                 Rethinking the rationale
Our outsourcing capability is used in five key ways:
                                                                                                                                                                 Our Approach

                                                                                                                                                                 Our Solutions

           Outsourcing                        Outsourcing                    Procurement                   Transition                   Supplier                 Why Davies Consulting?
            Advisory                           Strategy                                                                               Management
                                                                                                                                                                 The Five Pillars

Each can be delivered as a standalone service, providing input and expertise where and when you need it most. Alternatively, they can                            Our Clients & Testimonials
be combined, in a long-term project, beginning with advice or strategic input, then – dependent on your in-house capability – leading or
supporting you through the procurement process for a new contract.

      Use Cases            Advisory                       Strategy                Procurement                Transition         Supplier Management

                                                                                                                                  How do we ensure we
       Exam            What is the expert /              What’s our                                        How do we land
                                                                               Who should we use?                               get the best from the deal
      Question         market view on...?               BPO strategy?                                       the change?
                                                                                                                                   and reduce the risk?

                    • Market / supplier          •   Outsourcing strategy    • Define Business        • Transition planning     • BAU Governance
                      assessment                 •   Case for charge           requirements           • Governance              • Deal / performance
                    • Local assessment           •   Business case           • Commercial models      • Programme                 optimisation
                    • Benchmarking -             •   Location strategy       • RFX process              Management              • Contract management
                      Pricing                    •   BPO operating model     • Negotiation strategy   • Handover strategy         including ongoing
                    • Benchmarking -             •   Technology to support   • Contracting support    • Exit strategy support     benchmark services
       Services       performance                    strategy                                           (incumbent)             • Benefits tracking &
                    • Commercial model                                                                                            administration
                      Benchmarking /                                                                                            • Ongoing supplier man-
                      Design                                                                                                      agement
                    • Performance
                      improvement
                    • Cost improvement
                                                                        Effective supplier Management identifies continuous
                                                                         improvement opportunities and strategy updates

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Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group
Davies Consulting | Making the right outsourcing decisions

Advisory                                                                                                                                      Rethinking the rationale
A one-off service designed to help you address specific questions about your current outsourcing relationships or future direction.
We’ll gather the evidence and present you with actionable recommendations around key business decisions such as:                              Our Approach

• Onshore or offshore – and if the latter, where?
                                                                                                                                              Our Solutions
• Which of your current suppliers offer best value, and why?
• How does your existing contract compare in terms of performance, payments and penalties?                                                    Why Davies Consulting?
• Where can you improve performance or reduce cost – and what’s the trade-off?
                                                                                                                                              The Five Pillars
• Could alternative delivery models, or suppliers, offer additional benefits or enable you to outsource further tasks?
                                                                                                                                              Our Clients & Testimonials

Strategy
Our expert team will work with you to shape your outsourcing strategy. Working within your parameters, we’ll explore the most effective
ways to meet your goals and develop a fully costed case for change, covering:
• The processes and tasks that can best be outsourced
• The types of partners and models that can help – including gig workers and other emerging models
• Potential locations for offshore partners if appropriate
• Recommendations on technology to support the strategy
• Analysis of the impact on in-house staff – focusing on how they can be freed up to meet other crucial goals

Procurement
The point where strategy moves into reality. Benefit from our experience as you plan and run the procurement exercise – and discover
why prospective suppliers repeatedly praise us for the fair and transparent approach we take. We can support you by:
• Defining and refining the business requirements, so you procure exactly what you need
• Accelerating the production of essential documentation such as RFIs and RFPs
• Shortening, in some cases, the procurement process by providing you with a long list of potential suppliers based on our prior
  knowledge – so removing the need for an RFI stage
• Advising on assessment criteria and participating in the selection process
• Helping you through contract negotiations to secure best value
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Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group
Davies Consulting | Making the right outsourcing decisions

Transition                                                                                                                                         Rethinking the rationale
We’ll take the stress out of transition to a new outsourcing partnership. Our team’s knowledge will help you prepare the business fully, so
that the new contract is best placed to deliver value from day one. Typically, we focus on:                                                        Our Approach

• Developing a comprehensive and realistic transition plan
                                                                                                                                                   Our Solutions
• Ensuring the right governance and programme management structures are in place
• Supporting you with internal change and communications – particularly for first-time outsourcers                                                 Why Davies Consulting?
• Overseeing a smooth exit from any incumbent with appropriate knowledge transfer
                                                                                                                                                   The Five Pillars

                                                                                                                                                   Our Clients & Testimonials

Supplier management
Due to their scope and duration, outsourcing contracts are different from project-based supplier procurement – and the management is a
different challenge too. For businesses that are new to outsourcing, a guiding hand can be invaluable, particularly in the first few months.
Our team can help you by:
• Monitoring supplier performance against agreed indicators
• Forming part of the governance arrangements
• Managing the supplier directly on your behalf
• Identifying continuous improvement opportunities

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Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group
Davies Consulting | Making the right outsourcing decisions

Why Davies Consulting?
                                                                                                                                          Rethinking the rationale

                                                                                                                                          Our Approach

                    We are experienced                                      We offer a comprehensive solution                             Our Solutions

   Our team have a wealth of first-hand experience in procuring and   Our approach doesn’t end with a series of recommendations:          Why Davies Consulting?
   managing outsourcing relationships across a range of sectors       we also offer direct support through the complex processes
                                                                                                                                          The Five Pillars
   and business functions. We’ve not only supported clients to        of procurement and transition. We’re a part of Davies, a
   develop their outsourcing approach, but also bring the insight     specialist professional services and technology firm, working
                                                                                                                                          Our Clients & Testimonials
   that comes from sitting client-side at the negotiating table.      in partnership with leading insurance, highly regulated and
   That means we can help secure best value and build mutually        global businesses. We’re a global team of over 4,000
   beneficial supplier relationships.                                 professionals providing specialist solutions to more than 750
                                                                      highly regulated and global clients, helping them to improve
                                                                      service, grow and win.

                    We are independent                                             We’re fair and transparent
   Because we are not attached to any outsourcing partners, you       Whether examining the market on your behalf, comparing
   can be sure that our advice is based on helping you make the       in-house performance with outsourcing benefits or advising
   right decisions for your business and your customers.              on a procurement exercise, we pride ourselves on being fair,
                                                                      transparent and led by the evidence. That means you get
                                                                      robust recommendations and a process that everyone can
                                                                      follow and trust.

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Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group
Davies Consulting | Making the right outsourcing decisions

The Five Pillars of effective business transformation
                                                                                                                                                     Rethinking the rationale

The impact of COVID-19 has compelled businesses in all sectors to take a fresh look at their operations, increasing agility, improving CX,           Our Approach
and streamlining processes.
                                                                                                                                                     Our Solutions
Our consulting-led services gives clients the support and rapid, relevant insight they needs to change and grow. Actionable insights is one
such opportunity but we know that our clients are exploring several others. To support them, we’ve developed a selection of consulting-led
                                                                                                                                                     Why Davies Consulting?
services that also deliver rapid, relevant insight around:
                                                                                                                                                     The Five Pillars

                                                                                                                                                     Our Clients & Testimonials

       CX Operating                    Insight &                 Outsourcing                  Intelligent                 Digital CX &
          Model                        Analytics                  Advisory                   Automation                   Technology
      To follow your North        Applying analytics t o     Making more strategic           Identifying where          Selecting the right
    Starvision of the CX our    understand thevoice         use of outsourcing        intelligent automation        technology,tools,
      clients want to offer       of the customer –and         to lower costs and            can enhance the        platforms and delivery
                                   generate actionable          increase flexibility        CXand streamline           models to achieve
                                      insights from it                                            processes              our client’s goals

Each service is based on the same core approach: we examine where our client currently is and where they want to get to, providing an initial
high-level diagnostic and set of recommendations – typically within three weeks from starting to work witha new client.

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Outsourcing Making the right outsourcing decisions - Davies Consulting - Davies Group
Davies Consulting | Making the right outsourcing decisions

Clients we have worked with
                                                                                                       Rethinking the rationale

                                                                                                       Our Approach

                                                                                                       Our Solutions

                                                                                                       Why Davies Consulting?

                                                                                                       The Five Pillars

                                                                                                       Our Clients & Testimonials

What our clients say

                      “
                      Working together with Davies has ensured Birmingham City Council
                      can deliver the maximum benefit for citizens. The Davies team brought
                      some novel thinking and best practice tools and techniques to review the
                      outsourced call centre contract. The subsequent contract negotiation was
                      robust and challenged the outsource service provider to deliver value for
                      money, improved governance and a better-quality service.

                      Chris Gibbs, Assistant Director of Revenues and Benefits
                      Birmingham City Council

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Get in touch
Wherever you are on your outsourcing journey, Davies Consulting can help you take the next steps. Contact us for an initial
conversation to discuss your current situation.

Simon Dillsworth                                                        Michael Anderson
Managing Director                                                       Vice President (North America)
Davies Consulting                                                       Davies Consulting

+44 (0)7919 115152                                                      +1 647 929 9002
Simon.dillsworth@davies-group.com                                       michael.anderson@davies-group.com

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