Tuesday, February 25, 2014

The Role Of A Western OLPI And Offshore Legal Provider Capabilities 6

2.       Business management: This is the capability to deliver products and services according to the agreement and the business plans of both parties.  If either of the two parties is dissatisfied with the sourcing arrangement, this will inevitably lead to the failure of the venture. Very often lawyers appear to forget this and try to fully exploit their power position at the expense of the provider. However, this tactic erodes the relationship and undermines the sourcing result. As the contract manager of an Australian public sector agency noted: “Providers have to make a reasonable margin to stay in business. You don’t want them to lose money because the worse their business gets, the worse your business gets.” (Feeny et al. 2005:44)

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