In what seems like a strange message from a different era, a Harvard Business Review article in 2012 by Reed K. Holden, wrote about the games buyers play with vendors, and the fact that the relationship buyer “has been in steady decline.” Holden, the author of Negotiating with Backbone, contended that the relationship buyer was […]
From the Blog
Contracts and Baggage
I met University of Vermont Law Professor Oliver Goodenough recently at an IACCM/Stanford Law School event that discussed the future of contracts. He posed this question: “Does the term “contract” come with baggage?” The discussion that followed was lively. The simple fact of the matter is today’s mental model of a contract does come with […]
Culture of Innovation
It seems every company recognizes the importance of innovation. This is especially true for the IT industry, where often today’s latest software innovation is yesterday’s news. This is why it is intriguing to see InformationWeek taking a stab at pushing for a “culture of innovation.” A recent post outlined five techniques “to support and encourage entrepreneurship in your […]
A Vested View on Risk
I was at a conference focused on contracting and a law school professor asserted, “You have three ways to deal with risk. Transfer it. Accept it. Or Insure for it.” There is nothing much new with those options, shifting risk is a popular pastime. But I propose there is a fourth way that is even […]
Secession as a Negotiation Tactic Will Only Go So Far
In a recent Seth Godin blog, Secession vs. Commitment, he talks about the negotiation tactic of leaving: it is powerful because “when the customer/partner/citizen could bolt at any moment, we act differently.” It may be powerful, but it is a short-term tactic. A better dynamic is commitment, because it is a “creation tactic.” When parties […]
Challenge the Status Quo
We should always challenge, or at least question, the status quo. The status quo is great only if you want the same thing you have always had. But today’s business world is dynamic and companies demand innovation and value creation. Lawyers should embrace change and more progressive thinking from academia that is proving to be […]
Missing a Train
Nassim Nicholas Taleb, author of The Black Swan: The Impact of the Highly Improbable, makes a trenchant point when he says that “missing a train is only painful if you run after it!” Generally speaking, there’s always another train or bus coming along later. And besides you would not run after a plane you missed, would you? […]
Every Vested Contract is Unique
We are often asked, and sometimes even begged, to draft and share a sample contract. People say, “If only I could have an example contract.” Let’s look at why this is a bad idea through the lens of an actual situation. Let’s take an example from ISS, a large facilities management service provider that has […]
The Power of Walking Away
Many organizations have a strong oversight mantra. But sadly, oversight can often lead to bad decisions – especially when it comes to large, complex and high-risk projects. Why? Psychological studies show that people fall victim to what is known as “status quo bias” and the sunk cost fallacy. Simply put, we tend to get sucked into […]
One Service – Three Visions
In our 3 Day Vested Outsourcing course we teach organizations how to do a Business Model Map in order to determine if Vested is the right Sourcing Business Model for their situation. One question that came up was, “Wouldn’t a buyer and a supplier have the same shared vision once they decided to create a […]
