Managing Tech Vendor Relationships Don't let one-sided vendor provisions surprise you. The standard vendor template is designed to maximize how much you – the customer – pays, minimize vendor accountability for quality and results and push financial/liability risk onto you. Know what to look for – and what to negotiate out.
Managing Tech Vendor Relationships America’s software industry is the most innovative in the world but an open secret clouds its success -- the industry’s customers fear and loath their software vendors, especially the most successful ones. The problem isn’t the products. Indeed, they frequently draw rave reviews. The problem is the industry’s sales model.
Managing Tech Vendor Relationships Benchmark data on vendor pricing and other contract terms is a useful milestone on the path to a great deal. But it's not a final destination: more often than not, buyers can do much better.
Managing Tech Vendor Relationships Many companies track and report vendor performance metrics. But few metrics provide a concrete plan for driving vendor performance. Should we fire the vendor or demand improvements? If the latter, how do we ask for them effectively? The answers to those questions should be based on the vendor’s performance against 5 simple, strategic relationship principles. Vendors who fulfill those are worth the effort; the others need to go.
Managing Tech Vendor Relationships Every CIO has had to deal with a software audit. They're painful to manage, costly to resolve and, at the end of the day, add no value. Even worse, they take the vendor's eyes off their core mission: innovating to improve your business. It's time to say goodbye to software audits.