What: "Optimizing Value from Your Business Relationships"
Who: Dave Zechnich, managing partner, Contract Risk & Compliance
Services, Deloitte & Touche LLP
When: Available immediately
Details: Many companies are highly dependent upon contractual business
relationships, not simply to extend the capabilities of the
enterprise, but often for ultimate business success and
survival. These types of relationships, however, may not be
routinely monitored, and in some instances, the risks of doing
business with third parties are not formally identified and
measured. In today's global and particularly challenging
economy, this could present a major threat.
Yet threats and opportunities are two sides of the same coin.
By routinely examining third-party business relationships and
monitoring the contracts associated with a company's extended
enterprise, senior business leaders may find compelling
opportunities to boost revenue, reduce risk and simultaneously
improve the relationship itself.
Deloitte's new white paper, "Optimizing Value from Your
Business Relationships; Trust but Verify," shows how a "risk
intelligent" approach to managing the extended enterprise can
advance organizations even with conditions exacerbated by the
"A contract does not guarantee the success of a relationship,
nor does shifting tasks to a counterparty decrease
responsibility," said Zechnich. "Yet, despite their
importance, after the focus on obtaining favorable contract
terms, the ongoing risk management and compliance aspects of
contracts are often overlooked. And in a challenging economy,
with third-party providers contractually obligated to meet
cost control, revenue generation and risk management goals,
obligations may not be met due to staff reductions or
temptations to subvert intentions and undermine performance.
Our message is simple: 'Trust, but verify' -- an important
aspect of a contract risk and compliance program."
Zechnich is available for commentary and further discussion
about contract risk and compliance. Please contact Daniel
Mucisko at 212-492-2870, firstname.lastname@example.org or John La
Place at 212-492-4267, email@example.com to schedule an
As used in this document, "Deloitte" means Deloitte LLP and Deloitte Services LP, a subsidiary of Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries.