Gartner Research

How to Get a Great Deal on Third-Party Support for Application Software

Published: 28 July 2014

ID: G00264230

Analyst(s): Pat Phelan, Bob Igou, Jane B. Disbrow

Summary

More IT procurement professionals are evaluating third-party support for applications in areas such as ERP and CRM as an alternative to software vendors' own support. To ensure cost-effectiveness, they must negotiate service deliverables, confidentiality clauses, price protection and exit clauses.

Table Of Contents
  • Key Challenges

Introduction

  • More Gartner Clients Are Considering Switching From Software Vendor Application Maintenance and Support to a Third Party's
  • Third-Party Support Can Cost Half as Much as Application Vendor Support
  • Why IT Procurement Professionals and Others Show Interest in Third-Party Support

Analysis

  • Form a Cross-Functional Team to Devise an RFI/RFP for Third-Party Provision of Application Support
  • Work With Business Units to Develop Several "What If?" Options for Future Maintenance, Support and Licensing Scenarios
  • Negotiate Contractual Provisions That Protect Your Organization and Clarify the Services to Be Provided

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