Many companies recognise that to develop world class procurement capability takes time and often comes at a cost and have chosen Business Process Outsourcing (BPO) as a compelling and reliable alternative. Typically, the most common outsourced activities are indirect materials and services, as utilising the company’s highly skilled procurement experts on strategic commodities is preferable.

Many of these companies have chosen outsourcing as a means to leverage economies of scale, improve tactical execution, provide a higher quality of service to their internal customers and increased levels of compliance control, while delivering bottom line savings in historically poorly managed spend categories. In doing so companies can realise reduced variable and overhead costs while often improving logistics in theirsupply chain. 

It is important to recognise that outsourcing the procurement function does not mean a complete transfer of control and careful reporting metrics will provide clarity to the business. Procurement outsourcing can be customised to your company’s level of maturity. It may involve the simple sourcing of products and services, and the migration of infrastructure: people, process, technology, systems and supplier management.

Transferring part of the entire procure-to-pay (P2P) function remains a strategic decision. At the end of the spectrum, value-added functions such as process mapping and procurement policy preparation can be implemented together with strategic sourcing.

As your reliable procurement partner, we will apply globally recognised best practice, customised to deliver incremental value across a full listing of chosen direct and indirect materials and services whilst delivering bottom line savings and cost avoidance.