subject: Vendor's Culture: What to look for in outsourcing? [print this page] Vendor's Culture: What to look for in outsourcing?
The cultural and philosophical match between your company and your vendor is the foundation of a successful outsourcing relationship. It will be visible during your initial interactions, during the RFP process and the proposal presentations. What are their ethical standards of behavior and codes of conduct? Are they saying "yes" to everything just to get the business, or are they concerned about keeping their word? Do they sound sincere or do they sound opportunistic? Cultural elements represent the way of life for a group and will be reflected in everything they dohow they regard time, how quickly they respond, whether they are open and transparent to you, and whether they are flexible, committed to the relationship, trustworthy and reliable. You can also assess whether there is consistency in their values, approach and quality.
Let me give you a couple of examples of cultural mismatches. One approach is "never surprise the client", and another approach is "bad news never travels to the client". What do you believe in and what does your vendor believe in? In some organizations, information moves to the manager from the team members and team leads, whereas in others the manager seeks out the information and disseminates it down to the team. Which do you prefer? In some organizations, responsibilities are delegated, and people are encouraged to take initiative, express their ideas and discuss different viewpoints. In others, it is considered impolite to make suggestions or ask questions. Teams from companies where employees are taught to be polite and hold their bosses in high regard are unlikely to question the client, even if doing so would be in the client's best interests.
Arthur W. Jones has said, "All organizations are perfectly aligned to get the results they get". Therefore, cultural compatibility is one of the most important aspects of vendor evaluation. For more information and help with vendor assessment, visit us at http://4outsourcing2india.com.