Software Development Services Suites 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 Software Development Services Suites procurement and the cost they have to incur. 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.

Traditionally, clients were charged on per diem basis for Software Development Services Suites. However, rising pressure from clients to decrease pricing has resulted into an alternative pricing model of value-oriented billing where supplier's remuneration is linked to the performance or outcome of the project.

In a bid to broaden their service portfolio, Software Development Services Suites service providers are heavily investing in advanced technologies and tools such as RPA, AI, data analytics, and blockchain. This trend has a potential to increase their OPEX and in turn, procurement costs for buyers in the short term.

Software Development Services Suites 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 Software Development Services Suites procurement strategy.

For example, Buyers should engage with service providers through a performance-based pricing model wherein consultants should be paid based on the quality of services delivered by them.

Investing in benchmarking studies help category managers improve their knowledge on market pricing or billing rates of consultants by job role and function. This also allows them to save costs as well as negotiate better with service providers.

Buyers should invite bids from industry competitors to ensure that the offers they receive are competitive. Service providers may be willing to offer a multi-year engagement at a reduced fee, which can be beneficial for category buyers in the long-term.

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