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15 January 2008 · Article

Are industry contracting & negotiation practices stifling innovation?

Contracting practices and the approach to negotiation can frustrate broader business goals and strategies - especially innovation. That was the conclusion in a recent article "Is innovative outsourcing a pipe-dream?" featured in CIO magazine (and the subject of discussion with Les Mara, EMEA head of outsourcing at Hewlett-Packard, on an IACCM Ask The Expert call on January 10th). Reinforcing that article, this short case study provides an example from the telecoms industry of the dangers that flow from risk-averse and inflexible standards. Unfortunately, there is plenty of evidence to suggest that similar behaviors permeate many other industry sectors - and this is therefore an area rich with opportunity for forward-thinking IACCM members.

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