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The four most common types of outsourcing contracts include fixed-price contracts, time-and-materials contracts, cost-plus contracts and managed services contracts.
What should be included in an outsourcing agreement? The term. ... The outsourced services and level of service by the supplier. ... Pricing and charging. ... The transfer of employees. ... Asset transfers. ... Intellectual property rights. ... Data protection. ... Warranties and liability clauses.
The 19 clauses we recommend including in every outsourcing contract are: Detailed project scope. Service-level agreements. Contract duration. Transfer of assets. Warranty and liabilities. Product ownership. IP protection clause. Data Protection.
Outsourcing agreements should include covenants requiring information security. For example, the supplier should agree to: Keep confidential all information provided by the customer, on behalf of the customer, or as a result of performing services for the customer.
The Services Description is the heart of the outsourcing contract. It must include all provided services. It must be seen as a multi-dimensional matrix including technical scope, service hours and service elements.