Case Study #4103 - Vendor Management Process : Agriculture

The Situation

A major Australian Agriculture company had outsourced the support and maintenance of one of its core IT applications.  The company had previously outsourced the support and maintenance of this application, and had not managed the outsource vendor effectively.  The outcome had been unsatisfactory service to the company users. The IT Department recognised that they needed to implement Vendor Management to allow them to efficiently and effectively manage the new contract.

Our Approach

We worked with the company to determine the attributes required of a vendor manager. The company appointed an internal person to act in this role.

We provided some coaching for the appointee to allow them to better understand their roles and responsibilities.

We worked with the vendor manager to:

  • Identify key company stakeholders that will actively support the vendor management role at various times during the contract

  • For each stakeholder, we identified their role in relation to the various aspects of the contract being delivered by the vendor.

  • Stakeholders were identified who had core responsibilities for:

    • Performance management

    • Financial management

    • Relationship management

    • Contract administration & Risk management

    • Managing innovation

  • We worked with the vendor manager to identify vendor management responsibilities, other stakeholder responsibilities, and appropriate hand over points.

Client Benefits

The company has tools and disciplines in place that will allow them to properly manage the outsource vendor.  They are able to monitor the quality of service at multiple levels and make adjustments with the vendor when required to ensure the ongoing success of the contract.

Further information

For more information, please contact our lead Director for this engagement.
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