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Supply Chain Management sourcing market attracts favorable interest from buyers and service providers alike
The dynamic Supply Chain Management (SCM) sourcing market is highly fragmented, highly competitive and growing, according to Everest Group. In examining the capabilities and market success of the 11 leaders in the SCM sourcing industry, Everest Group reports a growing interest in SCM as buyers seem more open to outsourcing while providers are willing to make investments to expand their suite of services.
“Increasing complexity in supply chain and global cost pressures are driving buyers to look for service providers who can deliver end-to-end SCM solutions that go beyond the traditional boundaries of procurement, logistics, and inventory management,” explains Megan Weis, vice president at Everest Group. “Service providers have also realized that with maturing market and increasing competition in Finance and Accounting Outsourcing and Procurement Outsourcing, SCM is a lucrative market to tap into.”
Announcing the SCM Services Market Leaders
In its newly released report, “Supply Chain Management (SCM) – Service Provider Landscape with PEAK Matrix™ Assessment 2017”, Everest Group explores the delivery capabilities and market success of 11 SCM service providers. Everest Group has identified the following Leaders, Major Contenders and Aspirants:
***Download Complimentary PEAK Matrix™ Preview Here***
Highlights:
About the PEAK Matrix™
The Everest Group PEAK Matrix is a proprietary framework for assessing the relative market success and overall capability of service providers based on Performance, Experiences, Ability and Knowledge. Each service provider is comparatively assessed on two dimensions: market success and delivery capabilities. The resulting matrix categorizes service providers as Leaders, Major Contenders, and Aspirants. Companies that demonstrate strong upward movement in successive reports are recognized as Star Performers. Everest Group recently announced a recalibrated methodology, in which innovation, intellectual property and technology take center stage.
FAO buyers’ view of their service providers
FAO contract terminations stabilizing
Typical price variation: LPO, CCO, and FAO services
As outsourcing markets mature, traditional cost levers become increasingly less effective, driving enterprises to seek alternative sources of cost savings. RPA is filling that void, promising a new wave of cost savings, particularly in FAO’s transactional and FTE-intensive processes.
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