Assessment of 3000 IT contracts

Due Diligence in the shortest delay

In order to assess the third party (TP) contracts of the targeted company a Client asked us to perform a commercial and risk analysis of the digital third party contracts. 

The main concern was the leadtime of this assessment. The Client requested us to perform this due diligence in 3 months time. 

The solution

We agreed that due to this short timeframe, we would focus on 5 main topics:

1. Was the TP a supplier on the approved supplier list of the Client?
2. Scope of Service or Products: Did the Client have the same kind of contract in place with this TP?
3. What was the pricemodel/unit price of the TP (Client versus Targeted Company)?
4. Exit clauses: What was the duration of the contract and how flexible were the exit clauses?
5. What was the added value of TP Contract? Was it critical or not? 

Based on these 5 main topics we could decide to terminate or to take the TP contract over.