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"Market Advantage" Streamlines Sourcing Contracting

28 July 2009
Business & Technology Sourcing Review - Issue 13

Contracting terms and processes for outsourcing are evolving rapidly, with many leading companies now combining multi-sourcing, global sourcing and innovative service structures to create flexible supplier portfolios.  Moreover, difficult market conditions are placing renewed focus on speed and value, as well as on building deals that work in many market scenarios.

To allow our clients to take full advantage of these trends, Mayer Brown’s Business & Technology Sourcing (BTS) practice is pleased to announce an entire line of contracting forms and processes that we call “Market Advantage.” 

Our Market Advantage contracting forms include:

  • A comprehensive form that reflects the latest thought leadership and market knowledge to enable rapid and successful conclusion of negotiations in complex international and domestic outsourcing deals — whether competitively bid or sole sourced.
  • A mid-market form that is more streamlined than our comprehensive form and is useful for rapid negotiation and deal conclusion in smaller, less complex deals.
  • A form designed to allow companies to use their existing agreements to work with a multi-sourced, flexible governance model.
  • Templates that address a number of sourcing options and variations — from captive and hybrid offshoring models to revenue sharing deals, simplified business process outsourcing, and ASP and hosting arrangements.

Our Market Advantage contracting processes include:

  • Flexible procedures that reduce face-to-face negotiating time and help produce higher-value contracts by leveraging industry experience.
  • Ways to facilitate internal team and executive updates on significant value and risk points in a deal, as well as  to evaluate competing offers.
  • Practices that make it easier to coordinate with the business team and that provide contract information to the governance team in an easy-to-use format.
  • Alternative support models to permit deal teams and in-house counsel to choose the level of support that they need.

These innovative contracting processes reflect industry best practices. We chair the Contracting Process Chapter of the International Association of Outsourcing Professionals (IAOP), and in that role we are engaging customers, service providers and advisors in developing best practices for the contracting process and sharing those through webinars and reports. For more information, visit We also co-chair the Practicing Law Institute’s (PLI) Outsourcing and Offshoring 2009: Meeting New Challenges.

In order to continue to improve our forms and best practices, we will soon be conducting a broad survey on current contracting practices and the available opportunities to create value. Your input will be valuable to our continuing effort to advance the industry.

For more information about our innovative Market Advantage forms and processes, please contact us.

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