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Bad planning hampers procurement outsourcing projects
A lack of upfront planning when outsourcing key functions such as procurement is a "common" issue that can seriously undermine the transition to a third-party outsourcer, experts warn.
In its latest report, Sink or Swim: Planning an Outsource Transition, procurement consultancy Efficio said that outsourcing programmes tend to focus on delivering the commercial process at the expense of upfront strategic planning for the transition project.
A detailed plan ensures timescales are realistic and any additional external resources required can be identified well in advance, the study noted.
Efficio principal Julian Catchick said: "It is necessary to build transition into an organisation's outsourcing programme plan, not as an afterthought but at the outset, noting it is an integral part of the mix and the negotiations.
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