5.2 If the service will be the options appraisal to include some or all of the • needed in the future, following: what is its likely scope? nothing’ • ‘do retain the of the existing contract • split the scope of the existing contract • broaden the scope of the existing contract • completely rethink the requirement for the • contract consider single/multiple sources of supply • combine new services with similar/ complementary • services 5.3 Are any major an updated risk management plan and issue • issues with the current register/ log contract that could exception reporting from regular client/ provider • affect the approach to progress meetings retendering the reports from contract and service management service? Factors to • functions consider include: an exit strategy and details of handover the of • • arrangements the provider cope with the range of services provided or were there significant weaknesses? the flexibility of the • contract— how adaptable was the relationship to both foreseen and unexpected changes in the nature and of demand? clients’ reaction and • adjustment to outsourcing—how well did users adapt to services provided by a third party? Was management confident that the provider could be relied on to provide the service? Is the organisation now ready for a greater dependence on outsourcing? an exit strategy—will • the retendering be straightforward or is a danger the client is now in’? Have ‘locked agreements been made to ensure the handover is as smooth as possible?
5.2 If the service will be needed in the future, what is its likely scope? • the options appraisal to include some or all of the following: • ‘do nothing’ • retain the of the existing contract • split the scope of the existing contract • broaden the scope of the existing contract • completely rethink the requirement for the contract • consider single/multiple sources of supply • combine new services with similar/ complementary services 5.3 Are any major issues with the current contract that could affect the approach to retendering the service? Factors to consider include: • the of the provider cope with the range of services provided or were there significant weaknesses? • the flexibility of the contract— how adaptable was the relationship to both foreseen and unexpected changes in the nature and of demand? • clients’ reaction and adjustment to outsourcing—how well did users adapt to services provided by a third party? Was management confident that the provider could be relied on to provide the service? Is the organisation now ready for a greater dependence on outsourcing? • an exit strategy—will the retendering be straightforward or is a danger the client is now ‘locked in’? Have agreements been made to ensure the handover is as smooth as possible? • an updated risk management plan and issue register/ log • exception reporting from regular client/ provider progress meetings • reports from contract and service management functions • an exit strategy and details of handover arrangements
A_Handbook_for_Conducting_Assurance_Reviews_FMR_7.docx