In a decision released on Friday, the CRTC set out its reasons for choosing Bell’s proposal to apply to transition services being provided to the department of defense network while TELUS completes its transition.
I think the key statement in the decision is:
Based on the past failures to accurately predict the time required for transition and the amount of work left to be done, the Commission considers that there is a significant risk that DND will not have issued disconnect orders to Bell Canada for all remaining Other Services within PWGSC’s proposed transition schedule.
The Commission chose Bell’s final proposal because it balanced the risk that the transition may take longer to execute than planned (given the record to date), while passing through cost savings should the targets be met.
When contracting for complex services, are you paying enough attention to transition clauses and developing appropriate strategies to manage supplier risk?
There are lessons for service providers and customers alike.