Gartner Information Technology Research

CIOs Can Optimize Vendor Negotiations and Spend by Asking the Right Questions to Analyze the Right Costs

Published: 19 March 2020

ID: G00465523

Analyst(s): Jo Ann Rosenberger, Rob Schafer

Summary

CIOs can optimize costs during negotiations by engaging key stakeholders to identify and ask the right vendor questions to uncover hidden costs. Customizing deal-specific financial models reveal the total cost of acquisition and serve as powerful negotiation tools for leverage and bargaining power.

Table Of Contents
  • Key Challenges

Introduction

Analysis

  • Cross-Team Collaboration Is Requisite for Negotiation Planning and Vendor Proposal Analysis
    • Storage Acquisition Scenario to Illustrate the Necessity of Cross-Team Collaboration
    • Customize Financial Models Using IT Finance Expertise for a True and Total Cost Impact Assessment
  • Use Financial Models for Leverage and Bargaining Power During Negotiations

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