Negotiating IT Maintenance contracts
July 19th, 2010
CIOs and IT directors are attempting to slash IT maintenance costs, as a matter of urgency, to free up their budgets.
On the one hand, hardware and software maintenance represents the single largest IT expense for many organisations, but it’s also a huge source of revenue for IT vendors. This conflict presents many problems for IT consumers.
Gartner has recently produced a list of recommended negotiable items:
- The right to regular, appropriate, predictable updates to software products
- The right to clearly defined response times and IT support levels based on application criticality and other business factors
- The right to reasonable, predictable percentage ranges for yearly maintenance fee increases – or decreases – as well as long-term caps on increases in maintenance costs
- The right to end or change support at any time for products that are not in use
- The right to reasonable, predictable levels of support throughout product and contract life cycles
- The right to reasonable, clearly defined maintenance and support for legacy systems
As a starting point for any contract negotiations, this is a good way to get started.