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Vendor and Sourcing Management: Maintaining Control of Vendor Relationships by Avoiding Vendor Lock-In

Vendor and Sourcing Management: Maintaining Control of Vendor Relationships by Avoiding Vendor Lock-In

This IDC study provides guidance to procurement and IT executives struggling to manage the most common pitfalls encountered in their relationships with external suppliers. It provides key strategies for minimizing negative behaviors common to outsourcing suppliers. Furthermore, this study guides vendor sourcing and management organizations (VSMOs) in making strategic plans for new relationships with vendors providing 3rd Platform technology solutions. These plans will help the enterprise avoid making technology and vendor decisions in pursuit of short-term gains without appropriately assessing the negative long-term implications of such decisions. Although 3rd Platform technologies and delivery methods have changed, the study applies lessons learned from vendor relationships formed for 2nd Platform technology solutions to key 3rd Platform technology procurement considerations. Maintaining leverage in a vendor/customer relationship is critical to ensure a vendor is motivated to act in the best interest of its customer.

Aaron Polikaitis, vice president of IDC's IT Executive Programs (IEP), Vendor Sourcing and Management practice, notes, "Vendor lock-in eliminates a primary factor motivating vendors to continue delivering in the best interest of the customer."

Please Note: Extended description available upon request.

IDC Opinion
In This Study
IT Executive Program Research Agenda
Situation Overview
Vendor Motivation
Key Assumptions
Control Points Limit Freedom of Choice
Open Source
Maintaining Positive Relationships with Locked-In Vendors
Vendor Lock-In Assessments
Lessons Learned for a VSMO
Future Outlook
Essential Guidance
Learn More
Related Research
Table: Vendor Count
Figure: IT Executive Program Research Agenda Themes
Figure: Vendor Motivation
Figure: Customization Lock-In
Figure: Who Owns the Data?
Figure: Lock-In Assessment Quadrant

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