How to evaluate risk and reward in a sourcing strategy*

If this is your situation

• You need to evaluate which sourcing strategy(s) – information technology outsourcing (ITO), business process outsourcing (BPO), or shared services (SS) – is the right option.
• You want to understand the role that sourcing and its various options can play in meeting your business objectives.
• You want to know what and who you need to consider when developing a sourcing deal that ensures the needs of all stakeholders – including your shareholders, suppliers, customers, and employees – are being met.
• You want to know how much you will really save if you source through the selected ITO, BPO, or SS model.
• You want to identify the risks associated with each sourcing option.
• You want to understand the sustainable benefits you will achieve with your sourcing strategy.
• You want to assess how your organization will be impacted if you source through various options.
• You want to gain insight into sourcing best practices for your industry.
• You want to know what steps you should take to ensure clear accountability and authority to make the project a success.

How PricewaterhouseCoopers can help you

• Create a sourcing plan that identifies how to achieve the desired business objectives through ITO, BPO, or SS – whether on-shore, near-shore, or off-shore.
• Create a business case that identifies which processes can be sourced or moved to a global location – through on-shore, near-shore or off-shore strategies.
• Identify the staging sequence for sourcing various processes based on classification, maturity, and organizational objectives.
• Benchmark the current environment against peers and leading industry practices.
• Assess the organization’s regulatory, information security, and business risk tolerance and likely exposure.