Determining the best sourcing direction across key business areas is not particularly difficult of a thought process – but internal politics and the workings of an organization most often prevent getting to the right answers. Again, there is an "art" to making this part happen – which is where these things most often fall short.

Our approach is to build a set of Guiding Principles up front with the organization to help remove the emotions of the decision-making. Applying these principles then helps us drive out where the value resides in driving various Sourcing strategies.

Subsequently putting in place the corresponding vendor evaluation and ongoing processes to ensure that the anticipated business value is achieved and hits the income statement as planned is key – and sticks.

Vendors are an increasingly important extension of organizations; putting in place the right accountabilities, measurements, and ongoing processes is usually undervalued – and can make a quantum difference in company performance.