Financial Systems Software Development Services Market Procurement Intelligence Report

Consultancy market around the world is undergoing rapid transitions that have a massive potential to influence the way companies strategize for Financial Systems Software Development Services procurement and the cost they have to incur. Many major Financial Systems Software Development Services suppliers are seeking inorganic growth to diversify their services and gain access to new products and new technologies at a lower cost. The strategy serves consultancy companies well as they can pitch for a larger scope of work and truly become strategic partners of their clients.

The market is rapidly showing signs of a great divide - at one extreme is a low-cost market with almost commoditized services and at the other end is the market for high cost specialized services. Financial Systems Software Development Services vendors are adopting starkly different business models and cost structures in an effort to address both the markets.

Certain non-compliance scandals in the broader professional services industry has pushed both clients and suppliers to put in proper processes and protocols that reduce non-compliance, protect data and information and demonstrate ethical business practices.

Financial Systems Software Development Services procurement best practices are moving towards a level of sophistication which is typically seen in traditional procurement categories. Category managers now have an attractive opportunity to adapt the best practices seen within this category as well as those being leveraged in other non-related categories. This report summarizes the best practices picked from across multiple categories that could work well for category managers involved with Financial Systems Software Development Services procurement strategy.

For example, Category managers must ensure that they have clearly identified and listed down potential negotiation levers to maximize the value of their category spend before entering into contract-related discussions with service providers. Common negotiation levers to maximize value include deadlines, terms related to payments, (including fees, expenses, and payment timelines) and assistance required from the buyer's organization.

Adequate RFP response time should be built in for prospective suppliers to enable them understand the scope and performance requirements.

Buyers need to adopt a single sourcing model instead of sourcing from different consultants to strengthen their partnership with the selected service provider. This also reduces management complexity, as they need to deal with a single Point of contact.

Financial Systems Software Development Services procurement managers also need to proactively identify and mitigate potential risks that can arise in the supply chain or contracts for Financial Systems Software Development Services procurement. Some examples include: