This case is a sequel to the case “Liverpool City council (A): the ICT outsourcing decision”. In June 2002, British Telecom and the Liverpool City Council (LCC) celebrated the first anniversary of their joint venture (JV) partnership. The JV was running five key services for the local council: revenues and benefits, HR & payroll, ICT and the call centre. The case details the main features of this partnership including governance, secondment of employees from the two organizations to the JV, performance management and payment mechanisms. It also puts the JV into the broader perspective of LCC’s vision to transform its organizational culture and business processes. The case concludes with the main benefits of this venture for the two partners and the importance of flexibility and fairness for long-term success. The case is complemented with a video of David Henshaw, chief executive of the LCC.
