Managed Services Reimagined: How Agile Sourcing Revolutionizes IT Transformation

Digital transformation presents companies with unprecedented challenges. One of the largest consulting firms defines digital transformation as "rewiring an organization with the goal of continuously creating value through the use of technology.

However, less than one-third of all transformation projects achieve their goals.

A major reason: Traditional procurement models for IT services are too rigid for dynamic transformation requirements. Instead of specifying services down to the smallest detail, companies need flexible partnerships.

The Co-create-Transform-Operate Approach

Agile sourcing breaks the traditional pattern of detailed service specifications. Instead, companies and service partners jointly develop:

Modern procurement organizations are transforming from pure cost optimizers to strategic value creation partners. Current trends show that companies are increasingly relying on data-driven decision-making.

Success factors for agile service sourcing:

• Transparent goal definition instead of rigid specifications
• Flexible compensation models (Success Fee, Gain-share, Outcome-based)
• Continuous optimization through shared KPIs
• Cultural fit between organizations

Digital transformation requires new forms of collaboration. Successful companies rely on strategic partnerships instead of pure supplier relationships.

Core elements of successful Managed Service partnerships:

• Joint roadmap development
• Agile governance structures
• Transparent success measurement
• Continuous innovation

Why Is Nearshoring the Key to Success?

Nearshoring combines cost efficiency with cultural proximity. Companies benefit from:

• 30-50% cost savings compared to on-shore resources
• Same time zone for efficient communication
• Similar work culture and quality standards
• Data protection compliance within the EU

The biggest hurdle in implementing agile Managed Services often lies in change management. Traditional IT organizations must rethink:

From rigid structures to flexible partnerships:

• Clear communication of transformation goals
• Training procurement teams in agile methods
• Building trust with external partners
• New KPI systems for outcome measurement

The agile approach shows particular success in specialized areas that traditionally require high internal expertise. Two areas stand out:

Both approaches demonstrate: 

Agile Managed Services work particularly well where specialization and flexibility are crucial.