A Guide to Renegotiating IT Service Contracts
IT service agreements should evolve when technology, business priorities or service expectations change. Renegotiation is an opportunity to bring the contract back into line with what the organization now needs.
Review the current agreement before negotiating
Start with the existing terms, service levels, pricing structure, limitations and exclusions. Then identify what has changed: perhaps the business needs faster response, different support coverage, updated technology, lower cost or more flexibility.
Negotiate service, not just price
A useful discussion can cover response times, support channels, service levels, contract length and responsibilities as well as cost. Be clear about the outcome you need and leave room for the provider to propose workable alternatives.
Monitor the agreement after the signatures
Once new terms are in place, track whether the promised service is being delivered. Renegotiation is not necessarily a one-time event; the agreement should continue to reflect the business as it grows and changes. Complex legal terms should be reviewed with qualified legal counsel.
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