Vendor Pricing Models: per FTE, per Transaction with Volume Bands, Fixed + Variable & Minimum Charges
This lesson is part of the course
In this lesson
You turn three fictional provider quotes with different price models into one comparable annual price and let a formula pick the cheapest.
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Lessons in this course
- The In-House Baseline: FTEs, Loaded Cost, Overheads & Cost per Invoice Locked
- Vendor Pricing Models: per FTE, per Transaction with Volume Bands, Fixed + Variable & Minimum Charges Locked
- Location Mix: Splitting Work across Delivery Locations A, B & C and the Blended Cost Locked
- Transition Costs: Knowledge Transfer, Dual Running, a Severance Placeholder & Contingency Locked
- The Retained Organisation & Governance: What Stays In-House and the Future Run Cost Locked
- Service Levels & Service Credits: Met or Missed, Credits, the Cap and the Net Fee Locked
- The Business Case: Yearly Savings, Cumulative Cash, Payback Month & NPV Locked
- Sensitivity & Decision: Volume ±20 %, Price Swings, Break-Even Volume and a Tornado Chart Locked