Sourcing leadership

For many firms, a key requirement when selecting a consultancy is that it can work with them throughout the entire sourcing change programme. The client wishes to be led through a transformational sourcing engagement, where PA takes responsibility and is willing to take share in the risk of taking the client from concept stage through transition and into ongoing management.

The client’s demand is for expertise in sourcing, a comprehensive knowledge of their sector, and skills in all the supporting change disciplines such as human resources, stakeholder management, communications, and complex project management.

The extent of PA’s involvement and the scope of the mandate are tailored to each client. Whether the programme results in outsourcing or improving the internal arrangements, PA’s role allows shared responsibility for a successful and sustainable outcome, and is not defined by simply taking the client through a process.

PA assists clients in two ways, as shown below.

Accelerated sourcing

PA has developed a fast-track approach for organisations wishing to be led through the whole sourcing life cycle, and by running parallel streams of work accelerate the decision on whether to outsource or keep services in-house. Whatever new sourcing arrangements are selected, PA then works with clients to ensure the delivery of the benefits is also accelerated.

By engaging early with the supplier community, eliminating project rework, and running many of the necessary activities in parallel, an organisation can rapidly make an insourcing versus outsourcing decision, and then realise the benefits of optimised strategy (or intended change). 

Focused primarily on the private sector, the programme requires strong governance from an empowered leadership team and discipline in decision-making. PA uses sourcing and sector professionals to lead each of the work streams and jointly manages the project. PA works with the client to build the business case, providing objective advice on whether the desired outcome is achievable. Supporting clients through implementation means PA shares accountability for success and that guidance is always in the clients’ best interests.

Stepped sourcing

This approach takes an organisation through a highly structured, auditable and consensus-based process to build the business case for sourcing. The follow-on programme then implements the new sourcing arrangements in a way that will support public examination and reduce risk.

Developing and implementing a robust sourcing strategy is a complex undertaking that for some organisations is subject to scrutiny that goes far beyond having a financially compelling business case. Managing a sourcing program from strategy to implementation in this environment requires a structured but flexible process, and the ability to innovate to overcome new challenges. A ‘one size fits all’ approach will not take into account the unique demands placed on the combined client/consultant team or the organisation. 

Having led some of the world’s largest public sector sourcing engagements, PA brings the expertise necessary to lead and manage this kind of sourcing programme, and to help ensure stakeholder consensus and future auditability.