Gartner Research

Market Insight: Clarifying the Hype Around Business Outcomes

Published: 17 September 2015

ID: G00290545

Analyst(s): Julie Short, Cathy Tornbohm, Helen Huntley

Summary

Clients want to pay for results, but most do not have a blueprint as to how. Business outcome-based contracting is still at low adoption levels. With increased automation, service providers' leadership must learn to selectively choose and communicate the win-win solution.

Table Of Contents

Analysis

Background and Context

  • Definition of Business Outcomes

The Impact

  • Impact of Business Outcome Deals on All Service Providers
    • Service Providers Must Align to the CEOs No. 1 Issue: Growth
    • Service Providers Must Construct Robust Delivery Levers Focused on Delivering Business Outcomes
  • Align Challenges of Business-Outcome Contracts to Specific Types of IT Services
  • Challenges Delivering Business-Outcome Contracts in Business Consulting
  • Achieving Business-Outcome Contracts in Business Consulting
    • Examples of Successful Consulting Engagements With Business Outcomes
  • Challenges Delivering Business-Outcome Contracts in Business Process Outsourcing
  • Achieving Business-Outcome Contracts in Business Process Outsourcing
  • Challenges Delivering Business-Outcome Contracts in IT Applications and Infrastructure Services
  • Achieving Business-Outcome Contracts in IT Application and Infrastructure Outsourcing
  • Case Studies of Business-Outcome Contracts in IT Application and Infrastructure Outsourcing
    • Airline Ticket Website
    • Governmental Agency
    • Information Systems Provider

Conclusion

  • Communicating Benefits Is Key to Winning Business-Outcome Contracts

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