AI Knowhow The New Services Playbook
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Dec 15, 2025 Join Chris Barbin, CEO at Tercera, and Michelle Swan, CMO at Tercera, as they unravel the transformative impact of AI on services firms. They argue that AI won't spell extinction but will drive evolution, advocating for a shift to 'Services as Software.' Discover how effectiveness trumps size, with smaller teams delivering faster outcomes. The duo delves into the change from hourly billing to outcome-based pricing, transparency in AI governance, and the necessity for firms to embrace AI internally to build trust with clients. Tune in for actionable insights!
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History Repeats With Labor Arbitrage
- Chris likened AI-driven disruption to prior labor arbitrage and offshoring shifts in services.
- He noted that big offshore players will feel high urgency to adopt AI or risk losing share.
Adopt A Portfolio Partner Strategy
- Use a portfolio strategy of vendors rather than one long, exclusive outsourcing partner.
- Encourage partner collaboration to enable faster value and new pricing models like outcome-based deals.
AI Accelerates The Shift To Outcomes
- Faster delivery enabled by AI forces buyers to shift focus from hours to outcomes.
- That momentum makes outcome- and value-based pricing more feasible than before.