Is There Value in Paying Provider Performance Incentives for Over-Achieving Service Level Agreements (SLAs)?
John Masley, KPMG Management Consulting, Shared Services and Outsourcing Advisory Buyers of outsourced enterprise services–especially those with big hearts who want to do the right things for the right reasons–often ask us if financially incentivizing their service provider when it exceeds SLAs helps foster the partnership. In most cases, I recommend against it. Why? SLAs [...]