Independent expert advice on outsourcing decisions and direction

Overview

When you’re re-evaluating your outsourcing provision, some independent expert input can be of real use. Our experienced team gave a national retailer some focused advice, backed by solid evidence, to help it gain greater value from outsourcing.

We combine the insight that comes with first-hand experience of procuring and managing major outsourcing contracts with a robust commercial focus – helping quantify potential gains and putting them in the context of your business goals and priorities. We have the global resources to work fast and provide you with the answers you need at speed.

The Situation

A national retailer was concerned that its long-term outsourcing relationship wasn’t delivering the best value. We were asked to use our experience on outsourcing decisions and direction to benchmark the contract against market standards.

Our Approach

First, we gathered data about the contract performance, looking at the existing KPIs for the contract and how the provider was performing against them. We then examined the overall cost structures for the contract, as well as the rates the retailer was paying for additional services. Finally, using our market insight, we compared what it was paying to other similar contracts.

That resulted in a detailed analysis that demonstrated unequivocally that the retailer was paying above the norm – without receiving above-average performance.

Return on Investment

The insight we provided gave the retailer the evidence it needed to end the current contract, and go out to tender for a new supplier. The understanding we had provided of market norms and rates enabled it to gain greater value for money in the new contract, as well as improved service.

Wherever you are on your outsourcing journey, Davies can help you take the next steps. Contact us for an initial conversation to discuss your current situation.

Simon Dillsworth
Managing Director, Consulting
Simon.dillsworth@davies-group.com

Michael Anderson
Vice President – US/Canada
michael.anderson@davies-group.com