Wednesday, December 2, 2009

Wednesday, December 2, 2009

FOR IMMEDIATE RELEASE:

Consultant provides insight on procurement outsourcing

Toronto, December 2, 2009—According to the recent Black Book of Outsourcing Report, procurement outsourcing is the fastest growing back-office area of business process outsourcing. The outsourced procurement solutions market is forecast to expand to an estimated $1.1 billion this year from $700 million in 2008, and, in 2012, it's expected to pass the $3.5 billion mark, representing a 41% compound annual growth rate.

It is important that companies determine the objectives they would like to achieve when considering the option of outsourcing procurement operations. Andrew Miller, President of ACM Consulting and sometimes referred to as the Procurement Guru, provides these considerations to companies investigating the procurement outsourcing model:

Develop a business case

Analyze the costs and the benefits of outsourcing to ensure that there will be a positive financial impact on the organization.

Develop a detailed transition plan for your organization

Ensure that you have carefully planned out how staff will be treated, including: which roles need to be retained and which roles will be transferred over to the outsourcing provider.

Determine the scope of what is to be outsourced

Determine what activities you want to retain within your organization and which activities you are willing to relinquish.

Procurement outsourcing is something that many companies should consider, Miller believes. "Companies need to look at the value that can be created by outsourcing a tactical function of the organization," says Miller. "However, procurement outsourcing is not the answer to a problem, it is a strategic shift in the way an organization does business. It is not an easy initiative to undertake, but there are tangible results to be achieved."

Andrew Miller is based out of Toronto and helps clients increase profit and operate more efficiently by aligning processes, people, and technology. He has worked with clients across North America and Europe.

For additional information please contact:

Andrew Miller

President, ACM Consulting Inc.

416-480-1336

andrew@acmconsulting.ca

www.theprocurementguru.com

www.acmconsulting.ca

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