Although many organizations have developed in-house expertise in managing the core procurement spend, their non-core spend management continues to be sub-optimal. Procurement outsourcing is a solution that helps companies improvement non-core spend management and capture significant savings.
The paper discusses the challenges companies face in effectively managing non-core spend across the entire source-to-pay process. It includes a case study illustrating leveraging procurement outsourcing to optimize management of non-core spend. The paper also discusses how to minimize savings leakage and maverick spending as well as key considerations for a procurement sourcing initiative.