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Outsourcing, Deal, Exit, Costs

All good things come to an end – How to avoid the exit sting

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22 Jun 2006 | (Thinking Point)

Recent news that UK grocers Sainsburys have taken a £63 million hit to last year’s accounts due to the costs of exiting their high profile IT outsourcing arrangement with Accenture must have caused jitters across the board rooms of all organizations with major long-term outsourcing deals in place. One of the main concerns about outsourcing is that there may be “no way back” – this case shows that you can, in fact, reverse such decisions, but that the right to do so can come at a high price.

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