Measuring the outcome of Transition Management – Metrics

Generally, by the time any organization begins to realize the benefits from outsourcing, the Transition manager may no longer be involved. However, it is important to create a measurement framework that enables assessment of the offshore team.

When measuring the performance of an off-shore team, an effective framework revolves around the following parameters:

1. Financial benefit – it is important to quantify the real cost of the function before off-shoring (baseline costs), and also to measure the cost of the off-shore team on an ongoing basis. Costs related to moving the function to the new team should be tracked separately as project costs.

Capturing these cost elements enables comparison of baseline costs with current costs, and provides an accurate measurement of the saves.

2. Performance of the team – While financial considerations are the key measure of success of the outsourcing project, it is also important to measure the on-going performance of the team. Though this is primarily done by developing performance metrics, from time to time it is also important to measure the changes in the risk environment and controls in the process. This enables identification and fixing of risks that may have crept into the process due to outsourcing (example: – Business Continuity risks change if a team is moved to another location)

Conclusion

The Transition Manager plays a key role in the success of any outsourcing venture. The role requires a person to wear many different hats – Project Manager, Change Agent, Strategist, effective partner and master organizer. And its not always plain sailing – since the Transition Manager is the face of outsourcing, she may have to bear the brunt of emotionally charged reactions and situations which may arise because many impacted people cannot easily accept the changes that outsourcing brings. All of this can be very challenging, but the joy of creating something tangible, and being on the forefront of change in any organization leaves a satisfying taste in the mouth when you end the day.

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