Procurement Outsourcing (PO) providers have proven their expertise to enterprises by significantly
lowering costs and streamlining procurement processes. These providers were vital in enabling
business continuity for enterprises, particularly during the COVID-19 pandemic, economic
downturns, technical upheavals, and leadership transitions. Their ability to maintain operational
efficiencies amid turbulent environments has highlighted their significance across various sectors.
While enterprises acknowledge PO providers’ strengths in offering process expertise, leveraging
traditional technologies, and implementing services, there is a growing demand for providers to
deliver beyond operational efficiency. Enterprises now seek providers that drive innovation,
demonstrate proactive problem-solving, and leverage advanced technologies to enhance
procurement outcomes.
In this report, we identify challenges that procurement teams face in an uncertain business
environment and their influence on dynamic expectations from PO providers. The report analyzes
the capabilities and offerings that help providers become enterprise strategic partners. It also
recommends strategies for PO providers to improve their status and effectiveness as trusted
partners in driving business procurement excellence.
Scope
All industries and geographies
Service: procurement
Contents
This report examines:
Outsourcing landscape’s current status
PO providers’ performance
Expectations from PO providers to become strategic partners
