Whether the choice is to outsource the procurement function in its entirety or incrementally, organizations have reported greater spend visibility, reduced procurement costs, and improved price savings as a result of procurement outsourcing.

A recent Aberdeen study, sponsored by Source One, indicates that sourcing deficiencies cost mid-sized enterprises $134 billion annually.

Because of procurement's strategic importance to any organization, leading businesses are looking outside of their organizations for expertise and support in their quest to drive strategic value through the enterprise and deliver results.

Organizations are constantly searching for ways to bolster bottom-line performance by not only increasing revenue, but also by decreasing the cost of doing business. To facilitate these outcomes, one strategy employed is to leverage Business Process Outsourcing (BPO) services to streamline business processes and improve operational performance.

The groundswell of support for procurement outsourcing previously percolating is starting to simmer… but how far are enterprises willing to go? The answer lies with Best-in-Class enterprises that are shifting the procurement outsourcing paradigm from one that focuses on tactical, cost-cutting benefits to one driven by the strategic advantages of utilizing a third-party expert.

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