Vendors and clients share risks and rewards through this collaborative model. This model has high client benefits as it holds the vendor accountable for an entire project, and allows the application of industry best practices in the outsourcing process. On the other hand, working from project-to-project is a piecemeal approach to outsourcing. A more consolidated view of the outsourcing initiative is required, within a unified framework. This is provided by the multi-year managed services model.
This model fosters the development of long-term, multi-year, SLA-based relationships to provide integrated solutions across the enterprise. The service provider takes responsibility and accountability for agreed- upon strategic business outcomes.