Web Hosting Strategies
Analysis and review of the web hosting and managed services industry by Doug Kaye.
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Web Services, Trick or Treat? Web-hosting vendor Conxion is sponsoring Web Services, Trick or Treat: Don't Let the Missing Pieces Scare You on Tuesday, October 29, at Zibibbo restaurant in Palo Alto, CA. On the panel:
- Antonio Salerno, Conxion CEO
- Steve Holbrook, Program Director, Emerging e-Business Standards, IBM Corporation
- Dave Wright,.NET Solutions Architect, Microsoft Corporation
- Doug Kaye, RDS Internet Infrastructure Consulting
- Brent Sleeper, the Stencil Group
Attendance is by invitation only. Contact Phyllis Davidson, Sr. Manager, Marketing Programs and Alliances, Conxion. (408) 566-8529.
Posted Saturday, October 19, 2002 10:41:16 PM 
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Sticks and Carrots: Penalties and Incentives in Outsourcing Agreements. (PDF) A good whitepaper that stresses the importance of incentives for outsourcing:
- The goal of penalties in outsourcing agreements should not be to punish, to pay less for poor service, or to recover costs incurred as a result of problems. Rather, penalties should prevent problems from occurring in the first place and,
failing that, should produce changes.
- Spreading penalties across too many insignificant targets simply waters down the ability to have any impact on top priorities. In other words, any single miss results in only a minor annoyance for the vendor, who has little incentive to change behavior and strive for quality.
- Given a penalty "budget" of 15 percent of the contract price, knowing where to "invest" that 15 percent is the magic formula.
- Incentives tied only to the attainment of service levels are generally a bad idea -- why should clients pay a bonus for services they’re already paying to receive? Moreover, exceeding established service level targets generally adds no value to the client.
And much more of value. [Source: Compass]
Posted Saturday, October 19, 2002 7:45:30 PM
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