Many customers of application development and outsourcing services begin their vendor engagements on a time and materials (T&M) basis, being the most straightforward and expeditious way to commence. However, in doing so, they may forestall realization of additional value in the form of innovation and business process improvement that can only be brought in a fixed outcome relationship. Based on a recent research project by Forrester Research, this presentation will focus on the key steps in managing the transition, including key elements of the sourcing process itself. By attending this session, participants will gain an understanding of:

• Key stages in the transition from T&M to fixed outcome relationships
• The additional benefits of fixed-outcome relationships as compared with T&M engagements
• What internal prep is required to make the transition