Best Practice: Risk Mitigation in Building Industry Solution Model | Article

Outsourcing providers often build capabilities and shape new process or industry solutions with an anchor client. Although anchor clients know there will be economies of scale benefits to them as the provider adds more clients to its shared services model, there is an inherent risk of degradation in quality of service to the anchor client when that happens.

Abbey Life, UISL’s anchor client, experienced no degradation in service when UISL added two additional clients to the fold. Here’s how Unisys eliminated risks to its anchor client as it built the UISL end-to-end vertical solution for the insurance industry:

  • Involved Abbey Life in planning discussions around the business plan and timelines for additional scope of work
  • Established due diligence and transition teams for the new clients, which were comprised of people not connected to delivery of services to Abbey Life
  • UISL’s call center and other back-office workforces are dedicated to a particular client
  • The governance contract between Unisys and Abbey Life specified the level of skills for the provider’s staff who would be delivering services to Abbey Life even after additional clients were brought on board
  • Unisys ensured it transferred sufficient knowledgeable, skilled staff from the new client companies to UISL to provide a wide enough pool of staff to meet the provider’s expanded obligations; 1,700 employees transitioned to UISL from Royal & SunAlliance, for example
  • UISL increased its level of cross-training so it could deploy staff to “hot spots” in the new projects, if necessary

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