IACCM Contract Management Forum

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2017-02-09 21:36:57

Contracting KPI's

Can someone suggest key Contracting KPI's in IT outsourcing projects.
 •  nynas ab  •   2017-02-14 13:56:17
Hi what do you mean with "Contracting KPIs"? Is that specific KPIs for the contracting part?
 •   2017-02-14 14:03:23
For IT outsourcing contract execution, I need KPI's which could be monitored and measured by contract manager to extract value to business.
 •  Annonymous  •   2017-02-14 18:41:27
Contracting KPIs may be very broad term and may be understood as contractual obligations that would help you measure contract performance. There are structured KPIs based on the specific services outsourced, such as, IT Infrastructure (Service Desk, EUC, Data Center Operations, etc.). or Network Support, or Applications (Development, Maintenance, Testing). Its important to understand what you are sourcing to be able to comment further. You should try to refrain away from typical watermelons, whereby, avoid having KPIs where you do not have tools invested in your organization to measure and evaluate supplier performance.

Beyond direct services related KPI, there may be additional KPIs that may help measure compliance, such as, audit compliance, BCP/DR test related controls, other Information Security related controls, or maybe even attrition of staff, Key Supplier Staff - however I assume that your contract is traditional FTE driven and not managed services or an As a Service contract.

Hope this helps. but would be happy to suggest more if I get more details.
 •   2017-02-15 08:19:28
Thanks Arannyak, We have an environment for managing IT infra in managed way for Cloud base services to end users. While Service performance is a key measurement area, can you suggest other KPI's which should be considered from Contract governance prospective.
 •  Ontario Lottery & Gaming Corporation  •   2017-02-23 23:54:38
You might find this website helpful.


I used it numerous times...
 •   2017-03-08 12:08:46
You might consider the deliverables each contractor (individual or legal entity) is employed to produce and tailor KPIs around objective criteria; such as on-time completion by agreed milestones, conformance to specifications, objective tests of conformance to functionality, and quality as in rates or minor or major bugs, also documentation
 •  IT Group - Blackrock Expert Services  •   2017-03-29 07:22:01
Hi is it just BAU 'keeping things running' services or are there elements of a) projects b) continuous improvements c) cost savings d) consultative advisory e) strategic partnering. The more there is of the a) to e) items the better the contract and governance needs to be is my experience - sometimes KPI's need bolstering by other items.
If primarily BAU then leverage ITIL principles and good industry practice obligations, helpful (automated) reportng (accuracy and contents); hopefully a portal / dashboard whereby client can see what is happening with services and support; as well as resilience, scalability, burstability, and have some really good governance around change and release management testing, comms, and clear roles and responsibilities, in hours and out of hours escalation, etc.
in re KPI's - once defined in outline don't forget to 'stress test' them by thinking thrugh the most common scenarios and seeing how the contract and KPI regime handle them.
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