Jon Lightman, the Lead of the Americas Banking and Finance Service of advisory firm ISG, sits down with Bill Tanenbaum to discuss the evolving role of AI in business transformation and outsourcing. Jon suggests that the conventional use of service levels (SLAs) to manage vendor performance should change to using “service levers” because of the need to coordinate services as companies adopt a multi-vendor ecosystem. AI, by its nature, introduces unknown unknowns into business transformation, and Bill and Jon discuss how governance (that is, steering committee for managing outsourcing projects) in outsourcing should change to handle issues that, by necessity or design, are deferred to future phases of an engagement, including allocation of unpredicted IP rights created during the engagement.

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