Times Are Changing! Should Your Technology Be Changing As Well?
By Lynsey Bloch, Senior Consultant
RLR Management Consulting, Inc.
It has been an interesting year to say the least. Some of our clients have taken advantage of this time to take a step back and evaluate where they are and where they want to be when it comes to technology. Should you renew a specific vendor contract? Should you offer new or different services? When was the last time you conducted your vendor due diligence and are you looking at all of your technology vendors?
It goes without saying, before a contract is signed, a financial institution should conduct third-party vendor due diligence and it should continue throughout the duration of the relationship. Not every vendor requires the same level of scrutiny. The scope, complexity and importance of a vendor relationship should determine how deep an institution needs to dig. The goal is to understand the vendor’s financials, experience, legal and regulatory knowledge, reputation, and controls.
It is important to keep in mind the vendor you select is likely to be one of your vendors for a long time and it is important to consider them as a partner for your future success. Negotiating a deal that is a money-loser for the vendor is not a good approach, pick your battles.
Negotiating a contract is an art, not a science and RLR can help! We are well versed in vendor solutions and meet with key solution providers regularly to further understand and work with their solution offerings. RLR has a proven track record of success in working with financial institutions of all sizes in numerous areas including technology, operations, regulatory compliance, and audit services as well as working with our clients to integrate new solutions technically, culturally, financially, and operationally. We can help you select and deliver solutions that no other consulting firm of our size can stand up to.
For more information about Vendor Management or Contract Negotiations, please contact us at [email protected]