BACKGROUND

A leading global materials company, with over $4B in revenue, has outsourced many functions to the former parent company since the initial business spinoff in 2010.  Most of the accounting/finance services and business operations (e.g., EH&S, Supply Chain, Purchasing, Customer Services etc.), including IT, are being supported by the former parent company and its subcontractors.  The current Services Agreement is set to expire within 2 years.  This agreement represents a significant financial commitment by company but the current services and solutions are neither rightsized nor flexible to meet the business needs.  The company has determined not to renew the existing agreement and is in the process of developing a plan that would prepare the company to exit the current agreement and to operate independently.

GOALS

  • Review and document current state – IT footprint, services/solutions and operations metrics
  • Validate business requirements and expectations including region/country/site perspective
  • Confirm the “desired” scope of services/solutions including “targeted” service level agreements and quality of service
  • Define sourcing strategy and approach to screen/select service partner(s);
  • Define the new operating model, key policies and the corresponding IT organization
  • Identify dependencies and opportunities to accelerate the transition;
  • Develop high-level roadmap to transition IT services and solutions off of the current provider’s platform
  • Develop Request for Proposal (RFP) to select service provider(s) that would meet the company’s overall business objectives and delivery expectations.