The approach in which services are being sold is also changing.
Customers are more aggressive and demand more flexibility in the way that they pay for IT services.
This is, in fact, a sound approach for purchasing these types of services due to the ease of planning and the ability to scale up or down. Alternatively, Value Pricing might be considered. Currently, this approach is not well understood, and there are few outsourcing companies actually subscribing to the value pricing concept. This is certainly one of those situations that sounds and looks good on paper, but is difficult to track and measure. I'd like to know, as a lawyer with substantial experience of both outsourcing and smartsourcing.