WeRunIt & Condy Mediation Report: Resolving IT Outsourcing Agreement

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Added on  2023/06/11

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This report analyzes a mediation session between WeRunIt and Condy Software, focusing on resolving an IT outsourcing dispute. WeRunIt sought to outsource its IT services to Condy for $600,000 annually, including website maintenance and database management. However, Condy argued that the offered amount was insufficient to cover the required services and potential system overloads, along with concerns about liability for payment errors. Through mediation, both companies reached several agreements, including an increased budget for software and hardware, the hiring of additional staff, shared responsibility for business insurance to cover potential losses, and a commitment to mutual trust and joint efforts to extend the contract term to 10 years. The final agreement involved an additional $100,000 for management software, hiring three more IT staff, and a shared investment in business insurance, showcasing a collaborative effort to address each party's concerns and foster a long-term partnership.
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Running head: INFORMATION SYSTEMS FOR PROFESSIONALS
Information systems for professionals
[Name of the Student]
[Name of the University]
[Author note]
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1INFORMATION SYSTEMS FOR PROFESSIONALS
The highlight and lowlights of the mediation mainly includes the following:
As the debate which was conducted it has been seen that the positive party is associated with
providing a proposal and this proposal mainly includes the outsourcing of the It services for
almost one year to the Condy Company. For this the total price that would be required is around
$600,000, and besides this the service has also been associated with including the creation and
maintenance of the various type of advertising related to different kind of events. Besides this
WeRunIt is associated with collecting the information for the purpose of building the database.
Along with this it is also to be made sure that the Condy is associated with providing support to
the WeRunIt in order to keep the financial records and also for the purpose of providing help to
all the participants while finishing the various kind transactions on an online basis.
Besides this the Condy Company, which can be considered as the negative party also stated that
they are not capable of offering all this kind of services to WeRunIt in just $600,000 along with
the 3 IT experts. Due to this reason that they have to buy more IT facilities in order to avoid the
breakdown of the system breakdown and this mainly happens when a large number of people are
associated with accessing the website in an instantaneous way. Additionally the 3 IT staffs which
are present are also not enough for the purpose of maintaining the records for each event that is
occurring. The most important thing is Condy, this is an IT based company which has been
associated with stating the fact that they are not capable of taking the responsibility for any kind
of loss that takes place due to the payment error.
As per the entire information which has been provided information, as a mediator, WeRunIt and
Condy companies have been associated with agreeing on certain agreements and this mainly
includes the following:
1. Adding of $100,000 on extra costs for the purpose of purchasing an effective
management along with the financial software for Condy in order to provide help to them
for the purpose of increasing the efficiency of their work.
2. 3 more staffs are to be hired along with the adding of 100,000 on hardware as well as
software.
3. Condy were also associated with agreeing on the taking of responsibility related to the
increasing of staffs’ software skills.
4. Condy and WeRunIt also agreed on paying an amount of $800,000 dollars (half-half) in
order to have an extra business insurance for the purpose of covering any type of loss that
occurs during the period of contract.
5. Both the companies has been associated with agreeing on the fact for the purpose of
promoting the mutual trust along with the common development as well as the address
threats by making use of joint efforts for the purpose of extending their terms to a
contract to 10 years.
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