Group 2

MEMBERS: Albitos, Frencel

Largado, Rikki Mae
Llamera, Ma, Angela
Malazarte, Brendyl Kate
Mocorro, Rachelle
Sebastian, Kimberly

INTRODUCTION TO IT-BPM ENGAGEMENT

Overview: Lesson Objectives

1. Gain a general background overview of what IT-BPM engagement is all

about.
2. Understand the IT-BPM engagements through providing insights on
client-service provider relationship.
3. Have an overview of the client-service provider relationship and
contract pricing models.

WHAT IS IT-BPM ENGAGEMENTS?

- IT-BPM
- The client service provider relationship
- Contracts with clients
- Client Services

CLIENT SERVICE PROVIDER

Client service provider relationship, you must oversee the
outsourcing involves in client company for good services provider.

WHAT IS IT-BPM?

GEED 10063 – PURPOSIVE COMMUNICATION Metacognitive Reading Report

 Information Technology and Business Process Management or IT-
BPM is when foreign brands, multinationals, and even startups
engage the services of a third-party vendor to manage certain
aspects of their work operations.

CLIENT SERVICE PROVIDER

Client Service Provider means a service provider, contractor or
other third party who is engaged by or contracts with the Client to
provide a managed or hosted solution to the Client.

CLIENT-SERVICE PROVIDER RELATIONSHIP: ATTRIBUTES

Client company is concerned with:
1. Quality transition of processes
2. Efficient operation of business function that were once handled in-
house
3. The reliability of the service provider
Service provider company is concerned with:
1. Performance measures
2. Scope of service
3. Benchmarks to ensure objectives standards in assessing work quality

WHAT IS IT-BPM CONTRACT?

An IT- Business process management (IT-BPM) is a formal
agreement between a client and a service provider to take over a
"pre-agreed portion" of the client's business operations.

MASTER SERVICES AGREEMENT HAS THE FOLLOWING

ELEMENTS:
1. Service to be provided
2. Performance management, issues, change, management
3. Country laws

GEED 10063 – PURPOSIVE COMMUNICATION Metacognitive Reading Report

 THE SCOPE OF WORK (SOW)
1. Can be similar to a “Job order”
2. Is generally an attachments/addendum to a master agreement, points
to covering terms
3. May state that in case of terms inconsistency, the SOW or Master
Agreement

FIVE CORE ELEMENTS OF THE IT-BPM CONTRACT:

Timeline
- refer to two things
1. When will the transition start?
2. For how long the contract will be in effect?
Cost
- payment made by the client.
- other specific operation requirements.
- very specific contractual details that both the client and services from
ambiguity.

PRICING MODELS
The price of the service to be provided is a very important part of
contract. It has implications to the cost of service and the
profitability of the business of both the client and the service
provider.

THERE ARE TWO PRICING MODELS:

1. Fixed price
- This pricing models is easy to plan and more predictable than
other pricing models.
- A fixed, pre-agreed price per unit is negotiable (e.g., a fixed price
per call or a fixed price per transaction)

GEED 10063 – PURPOSIVE COMMUNICATION Metacognitive Reading Report

 Advantages
1. Advantages for service providers:
2. Advantages for clients
3. Disadvantage
Example: You and your group mates decide that you will be having
your next group meeting at Mcdonalds.

2. Time and Material

1. The price for service is based on time and material that was
used.
2. Used when a service is very flexible and it is not predictable in
terms of how much time and material is needed.
3. In some cases, a maximum price for the service is negotiable by
the client/customer to build in some control or safety level.
Example: When volume are unpredictable for example, at some point
a hundred seats (agents) are needed but then because of increases
or the spikes in volume, a hundred fifty seats are now required.

ASSIGNMENT:
- What is IT-BPM?
- What are the major elements of IT-BPM contracts?
- Why is IT-BPM contracting important to clients? The service provider?
- Give the two pricing models?

GEED 10063 – PURPOSIVE COMMUNICATION Metacognitive Reading Report