SupplyChain Magazine August 2021 | Page 43

PROCUREMENT
recommends an end checklist . Sign the contract ; create a people transition plan ; complete consultations with any oversight committees . After signing the paper with a flourish , you can then rest easily , confident that you ’ ve followed a strategic outsourcing system .

“ Outsourcing of S2C can give companies access to expertise , capabilities , and scale they may not have in-house ”

ILIANA FILYANOVA PARTNER , MCKINSEY ’ S MANUFACTURING & SUPPLY CHAIN
Companies To Emulate Procter & Gamble , Unilever , Slack , Alibaba , Acer : even major multinational companies seek to outsource specific systems , technical skills , or materials . When Unilever integrated its ERP platforms into a single system , outsourcing saved the company an annual € 700 million . Slack outsourced its universally-known colourful design label to MetaLab . Alibaba outsourced to US firms to compete with eBay . Acer outsourced manufacturing to maintain a small , agile team . As a result , these companies improved their international reputations , offset their internal weaknesses , and built strong vendor partnerships .
As executives increasingly turn to procurement to make their global operations more cost-efficient and more resilient , teams that strategically outsource work will stand a better chance of bringing good news to the next management meeting . Said Ryan Flynn , Principal , Deloitte Consulting : “ CPOs are uniquely positioned to help their organisations navigate a historically disruptive time and build the agility required to thrive .”
Yet to do so , they must act with intent . “ Successful outsourcing — outsourcing that drives transformation and helps achieve broad strategic goals — requires companies to follow a disciplined process ,” wrote Deloitte . In short : Outsourcing initiatives succeed not by luck , but by design . supplychaindigital . com 43