The big picture: Genpact is transitioning over 50% of its revenue to an outcome-based model, moving away from traditional headcount-based billing for client contracts.

Why it matters: This shift signals a broader industry trend towards valuing results over labor input, impacting how staffing and service providers structure contracts and measure value.

Between the lines:

• Genpact guarantees specific cost reductions for clients, such as processing invoices at $3 instead of $5.
• The new model removes client concern over Genpact's labor or technology costs.

Staffing & HR impact: This model could pressure staffing firms to demonstrate tangible ROI, potentially affecting gross margins and requiring a re-evaluation of how talent is deployed and compensated. Recruiters may need to focus more on skills that directly drive client outcomes.

The bottom line: Outcome-based contracting is gaining traction, pushing service providers to innovate beyond traditional staffing models.