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Companies typically source for two main reasons: to acquire expertise and to cut costs. The desire to mitigate sourcing’s resulting inherent financial and transactional risks has led companies to consider a myriad of sourcing models and their hybrids: in-out, off-near-on, third party-captive-joint, and so on. And although the landscape is full of success stories, there are the notorious stories of fiascos that stick in people’s minds. Unfortunately, after pealing back the onion, most companies fail to realize that people are at the heart of their sourcing failures and that, yes, there are things they could have done, even remotely, to address this.
Presented at the IAOP 2013 Latin America Outsourcing Summit. Learn more at www.isg-one.com.