![]() ![]() ![]() Most vendor pricing is negotiable in some fashion. Gartner research shows that when sourcing experts are left out of negotiations for technology vendor contracts, HR can pay up to 30 percent more for those contracts, Hanscome said. So one of the best things for HR is to not go it alone, and bring in experts from sourcing or procurement to help negotiate contracts." "They are up against vendor salespeople who negotiate these contracts every day. "The typical HR professional is in a purchase scenario maybe every other year for small systems and once every three to five years for larger systems like an HCM cloud suite," said Ron Hanscome, a research vice president specializing in HCM applications for research and advisory firm Gartner. Recruiting a small team of internal negotiators from sourcing, legal and IT can help ensure better deals, experts say. How do you ensure the contract you sign doesn't leave you with buyer's remorse? SHRM Online spoke with human resource technology consultants and practitioners for their advice on how HR leaders-many of whom are in buying mode in 2021 as technology budgets expand-can maximize value in contracts, avoid pitfalls and capitalize on what often are missed opportunities to reduce costs. After product demonstrations are complete and a winning vendor is chosen, HR buyers find themselves having to make a deal with salespeople who are highly skilled at maximizing revenue for their employers. One of the most daunting aspects of choosing a new technology vendor is negotiating the final contract. ![]()
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