IT research and consulting firm META Group launched its price benchmarking methodology in Australia yesterday, saying it would fill a chasm in the market for trusted and practical business solutions.
Focusing on the outsourcing sector, Paul Ventura, managing director of META Australia, says it is the only company offering price, as opposed to cost marking, which takes into account real cost drivers such as penalties for under-performance or incidental expenses.
Benchmarking veteran Eugene Talasch, previously from Gartner, will drive the process for META. He believes cost marks rely on artificial uplifts which makes them useless to the client.
META has already engaged in benchmarking contracts in Australia including one of the two large telcos, financial institutions, state and Federal Governments and large outsourcers. Every bid META has gone for in the Asia-Pacific region it has won, according to Ventura.
In addition to its unique methodology, the backing of META's global research arm enables it to shorten the typical benchmarking cycle by up to 75 per cent to four weeks. Ventura feels Gartner is the only competitor with the historical infrastructure to match it, however he says it's usually tough to change existing cultures and methodologies.
META believes the demand for benchmarking will increase worldwide, driven by a threat of recession and the need for increased efficiency as well as becoming a standard requirement for many outsourcing contracts.
Photograph: META Australia's managing director Paul Ventura