The Outsourcing Institute has defined outsourcing as: The strategic use of outside resources to perform activities traditionally

handled by internal staff and resources.' So, outsourcing is not a synonym for procurement. It is concerned with the external provision of functional activity, and therefore outsourcing decisions are strategic in nature. They impact upon the nature and scope of the organisation. As such they are not taken at the operational level, but involve top management, and the consideration of a great variety of variables such as:
I

Do we have candidate functions for outsourcing? How do we select? How do we assess ourselves? Who are the potential providers? How do we assess them? What sort of relationship will we form? How will we manage it? How do we ensure efficiency?

To discuss the concept of outsourcing To highlight the basics of a best practice approach to outsourcing, including outsourcing methodologies To outline the pitfalls of outsourcing To outline the use of service level agreements (SLAs)

Outsourcing is, essentially, the contracting out of non-core activities. That is not to say that the activities are unimportant; for example the government has outsourced much of the computing activity required by various Civil 115

_.~ing

Service departments and agencies. A difficulty is. of course, that a decision has to be made as to what really is core activity, and what is not. Mention is made in Chapter 2 of the concept of the virtual organisation, whose core activity will be managing and orchestrating contractors. Prahalad and Hamel (1990) wrote that business development would depend on a corporation's ability to identify, to cultivate and to use its core competencies. These were prophetic words. Many organisations, large and small, in both manufacturing and service operations, have invested, and continue to invest, great effort in attempting to do just this. The fundamental questions of 'What business are we in?' and 'What business do we want to be in?' are at the root of corporate strategy. No commercial or public sector concern can undertake all the production of goods and services necessary to the business, and decisions of a strategic nature will need to be taken and adopted as a matter of policy for the concern in question. Decisions as to which classes of goods and services to outsource and, if partial outsourcing is to be pursued, what the proportions should be are core issues which in many respects actually define the business. Major issues of investment, location, planning and direction are, to a large extent, dependent on the make/do-or-buy decision. These strategic decisions will be informed by many considerations, amongst them: Financial constraints. If we cannot invest in everything connected with supplying the needs of our organisation then which factors do we invest in and which do we outsource? Which of our capabilities provide competitive source those which do not? Once, outsourcing meant handing over functions such as catering and security to third-party specialists, allowing businesses to concentrate better on their core competences. Many of the deals being announced these days come dangerously close to having an impact on companies' critical competencies handing over the entire IT function, for example, or passing responsibility for warehousing and distribution, or customer service. Companies should ask themselves: Will integration (vertical or horizontal) bring benefits to our organisation? are difficult to acquire externally? advantage? Should we out-

If so, how do we pursue this? What services, goods or commodities

Should we develop our own capability? If 'downsizing' seems to be an option for us, which bits of our operation do we shed, and which do we retain? Are we in the right business? Are we making things when selling them is what we're really good at, or are there opportunities to become producers of the goods or services that we sell? Recently, some companies have been bringing back in-house activities that were formerly outsourced. For example, RMC, a cement company which had outsourced in the expectation of cost reduction} found that costs were going

Best pract

116

Outsourcing

at a decision Mention is whose core

,

up instead, and decided to improve its control by reverting back to in-house provision. Nor is the improved service that companies expect from outsourcing necessarily the service they receive in practice. Many companies report that rather than improving control, they are actually losing effective control. One common problem is outsourcing for the wrong reason. If the company is already efficient and effective then it is unlikely that the desired cost savings will be achieved. If the objective is cost savings, or improved service, or being better able to cope with flexible demand, then outsourcing offerings should be evaluated and monitored in that light. The reaction of many companies is lout source and forget' when instead it should be 'outsource and manage'. Within the contract a number of specific key performance indicators (KPls) should be made explicit, and the results should be both produced and reviewed in a timely manner.

uld depend competenall, in both

Fue to invest, ns of 'What

F undertake

~at

the root

and decisions er of policy

, to a large .c decisions

Mini case study - Vita phone

At Vita phone, a German company producing mobile phones for medical and emergency applications, the decision to outsource the making of the devices to US-based contract electronics manufacturer Flextronics was based partly on the supplier's commitment to provide such metrics. But more important was Flextronicas parallel commitment to engage with Vita phone to review, interpret and use the figures to drive improvements. They have a regular schedule of monthly meetings, where issues such as quality, cost reduction, adherence to delivery schedules and other measures are reviewed. What is important to the company is to be able to see trend information. How long is it taking to process a claim? How many claims are processed per employee? Moreover, that trend information is seen with ample time to act upon it.

ected with

~Ould we outI

~ catering and te better on 1""e days come mpetencies 5pOnsibility for ies should ask It is often said that the secret of successful outsourcing is a solid relationship between the two parties. Original contract negotiations often failed to fully appreciate the links between pricing, the required service level measurements and the specified scope of the services provided. Both sides often fail to fully define the process. Most outsourcing service level agreements (SLAs) do not incentivise the correct behaviour from the outsourcer. 'Risk and reward' contracts, in which both parties to the deal share the risks and the rewards, have been found to achieve mutually acceptable levels of performance.

c organisation?

lire externally? operation do

Best practice - team approach

The cornerstone of a successful outsourcing project is the creation of an effective team, one that provides a pool of talent and represents all the stakeholders. KPls relating to quality, speed, flexibility, dependability and cost frequently form the basis for continuous improvement plans. They provide a measurement system for management to gauge the effectiveness of the outsourcing decision and communicate results to a wider audience.

selling them is come producers

se activities that pany which had :om were going

117

Chapter 4 Outsourcing

Conversely, they also help to increase expectations over time, with pressure to meet tough new business goals, stretch service performance and improve business growth. Plans are not complete without a termination clause and an exit strategy with clearly identified switching costs, allowing an efficient switch to an alternative supplier or in-sourcing with minimal disruption to the buyer's business.

B Best practice - drivers

The main driver of outsourcing is the need for focused competitiveness:

Contractu. relationslJi

Outsource where others can do it better. OutSQUICeto focus on core business. Outsource to reduce cost base.

B Why outsource?
There are many considerations that might influence an organisation, such as: External supplier has better capability. External supplier has greater or more appropriate Freeing resources for other purposes. Reduction in operating costs. Infusion of cash by selling asset to provider. Reducing or spreading risk. Lack of internal resource. Desire to focus more tightly on core business. Economies of scale.

capacity.

Unfortunately, rarely is there a clear organisational focus for determining which activities are 'core cornpetences' or for determining strategic impact.

Most important contributors to success

Activity well defined. Roles and responsibilities of allparties clear. Good relationship with supplier. High quality of supplier. Effective contract management/monitoring.

BAn app

An important part of managing outsourcing is the consideration of potential exit strategies. Indeed, as mentioned earlier, there are many instances where outsourced services have been taken back in-house - clear evidence that even if companies outsource they can eventually retain long-term control.

Best practice contract management skills

Buyers need to carry out better planning and post-contract management to prevent outsourcing ideals collapsing, according to outsourcing advisory firm, Orbys. In a report, 'Managing Outsourcing for maximum value', Orbys found that nearly a quarter of the UK's biggest firms have brought an outsourced function back in-house after failed expectations.

118

Chapter 4 Outsourcing

Important considerations

It is essential that both the client and the external provider under consideration have a clear and shared understanding not only of. the specification but also of goals and objectives, and that this understanding is translated into a workable strategic plan. Following the careful and rigorous procedures necessary for appointment of an external provider there will need to be a well-designed and mutually acceptable contract, and an open and continuous working relationship underpinned by senior management support from both organisations. Service level agreements may be entered into between a client and a supplier of services. They may be defined as an agreement between customer and service provider in which quantified elements of the service provision are determined. Most services are built up from a number of individual components, and a complete service level agreement will cover these in some detail. Examples are: Time of provision of each type of service. Points of service delivery. Nominated service provider. Responsiveness. Documentation. Emergency arrangements. Hotline support. Dispute procedures. Training and staff development. between the key stakeholders

Service level agreements

Figure 4.1 demonstrates the relationship involved in service level agreements.

Figure 4.1
Three main players involved

.Keyo

in SLAs

(Source:

Crocker

afler

Hiles,

1993)

120

Outsourcing consideration ion but also ~ into a work""'-' necessary _ll-designed I rorking rela~anisations.
I

Best practice - Outsourcing: the long view

A recent Dun & Bradstreet global outsourcing survey of 1000 companies on its database reported that a quarter had terminated at least one outsourced relationship before its due date. Dataquest also reported that more than 50 per cent of oursourcers surveyed had renegotiated a contract mid-term, resulting in 25 per cent of the incumbent providers losing the account. Why? What can be said with some degree of certainty is that if the needs and expectations have been clearly defined, communicated and understood during the selection process then the execution, measurement and subsequent review will be far more focused and cohesive. The value proposition for outsourcing must be to shift the business's focus from managing its own resources to one of managing the provider's results. This demands a more advanced approach to selecting the right partner and to the performance management of the contract. The business needs, the desired results, must be defined in clear and measurable terms. This needs to be in conjunction with all interested parties (or stakeholders). The required results must reflect the time requirements of the business and, as importantly, they must be owned, measured, reported and modified as business needs change. However, performance is two-way, and the customer will also have to meet obligations in terms of' owning' the relationship. There is a strong correlation between the (good) performance of outsourced service providers and clear lines of responsibility, authority and accountability being established for the outsourced relationship. There must be an ability to amend or change the outsourcing requirements over time. It must be recognised that there will be cost and performance factors associated with such changes. Include provisions for extemal benclunarking to stimulate the opportunities for continuous improvement. A Warwick Business School research study found that 4-8 per cent of internal management time is applied to managing relationships. There needs to be a focus on soft skills such as mutual problem solving, listening, error-cause removal, force fieJd analysis (the factors in favour of and against change), risk and vulnerability analysis. Clear escalation and resolution procedures for conflicts should be developed .

stakeholders

Key contractual elements

Comprehensive service definition - what is actually required? Process for service evolution - ongoing continuous improvement. Ability to add/delete service. Volumetric change. Service levels (meaningful measure/targets). Service credits/bonuses (shared risk and reward). Objectives to be delivered by both sides. Supplier responsibilities - contract management. Customer responsibilities - partnership concept of win-win.

Force majeure. Change control processes. Avoid undue 'lock-in' to: Particular technology Particular solution/service 121

Chapter 4 Outsourcing

Particular supplier - although their very nature.

outsourcing

contracts are longer term by

Ongoing market testing/benchmarking. Dispute resolution. Termination procedures.

Outsourcingmethodologies

Lonsdale and Cox (Mcivor, 2000) revealed that outsourcing decisions are rarely taken within a thoroughly strategic perspective, with many firms adopting short-term solutions for cost reductions. Elsewhere in this chapter, we support the statement with examples of research which demonstrate the same phenomenon. Many companies have no formal outsourcing process, and make shortterm decisions based on reduction of head count and costs, rather than managing the risks and securing added value and continuous improvement. In this section we highlight three frameworks or methodologies for effective outsourcing strategies, all of which are examining risks at each stage of the process in terms of a decision tree approach, allowing companies to consider the full implications of their actions. The first of these was introduced by Lonsdale and Cox (1998), and is shown in Figure 4.2. This very useful model allows companies to assess the risks of outsourcing in terms of non-core/core competencies and the criticality of the activity. Companies must have a clear understanding of what business they are in, how value is sustained and, therefore, what activities are non-core and low risk in terms of outsourcing. Figure 4.2 The outsourcing process

Decision to outsource: internal assessment of criticality of business activity

J}
Decision to outsource: internal assessment of external supply market

J}
Internal selection of appropriate types of external supplier relationship Supplier selection

J}
Supplier management

J}
Re-tender or return in-house
(Source: Lonsdale and Cox, 1998)

122

Outsourcing

methodologies

~r

term by

Moreover, it indicates the importance of assessing the supply market; it is imperative that we select suppliers/providers who have more specialist knowledge in order that they can provide superior levels of service and continuous
improvement. If the market is not surncrerrny "rna'rure", in that there are

many providers but there is a lack of a sufficient level of competence, then clearly it may not be appropriate to outsource at this stage. Supplier management in the form of effective contract management and performance monitoring with appropriate partnership/collaborative approaches is imperative if benefits of outsourcing are to be realised. Finally, the re-tender or return to in-house decision must be managed effectively since badly managed termination of provision can cause interruptions in service levels and an unprofessional reputation in the marketplace. A second outsourcing framework is provided by Mcivor (2000), again in the form of a decision tree involving four key stages.

Stage 1: 'Define core activities'

It is essential to distinguish between non-core and core activities (those adding value to the customer and therefore key sources of competitive advantage). Companies such as Honda, Apple, IBM and Digital build their strategies around their core activities and outsource as much of the remainder as possible. - outsourcing the activity. they are in, e and low

Stage 2: 'Evaluate relevant value chain activities'

This involves analysing the competence of the company compared to those of the potential providers, comparing the ability to add value and the implications for the total cost of ownership. Activities for which the company has neither a strategic need nor special capabilities can be outsourced to more competent providers who have a lower cost base.

Stage 3: 'Total cost analysis'

At this stage, if after analysis of total costs the company is more capable than the external sources then it should retain in-house capability. If a number of capable suppliers exist! then move to the final stage.

Stage 4: 'Relationship analysis'

At this stage companies are attempting to select suppliers who have the ability to initiate and develop suitable relationships which will add value and provide continuous improvements.

123

---_.

__

....

__

._------------

Chapter 4 Outsourcing

Again, elsewhere in this chapter we demonstrated the importance of relationship management in several research findings. If no suppliers are suitable, then again the risk is too high and therefore the decision should be to retain in-house capability. If companies follow such an approach then they will manage the risks associated with outsourcing more successfully. Finally, a third framework is provided by Galetto, Pignatelli and Varetto (2003). Again, there are several stages associated with: Core competency evaluation. Identification of process to be outsourced. Types of relationships. Prioritisation of activities to be outsourced ities, total cost and control).

(criteria at this stage are capabil-

External benchmarking. Supplier selection. Establishment of service level agreements and suitable involving future targets for continuous improvements. Management of the outsourcing process. relationships,

Essentially, this highlights the importance of ongoing contract management and regular reviews. Again, this was found to be most important to users in research findings presented elsewhere in this chapter. In summary, if companies adopt formal strategic thinking such as outlined in these frameworks then it is likely that the percentage of successful outsourced contracts reported would increase dramatically.

Mini case study - Goodyear

The Goodyear Tire & Rubber Company in North America is outsourcing more than 40 indirect spend categories in a drive to cut costs. A Goodyear spokeswoman claimed the deal 'will help save $1 billion by 2008 and allow buyers to focus on strategic and direct spending' Outsourced categories include: Transportation Distribution Maintenance Repair Operations Packaging Energy Marketing services In March 2004 Goodyear Dunlop Tires Europe outsourced all its indirect spend to IBM for 10 years. It estimated that procurement savings of 50 million would be achieved within two years.

124

Outsourcing - pitfalls

r.. of re1ationd therefore

Outsourcing - pitfalls
A study from PA Consulting found 58 per cent of clients carried out no due diligence on potential suppliers, 44 per cent admitted to underestimating the effort involved in managing tlieir supplier and lia1f of the lawyers believed that less than 10 per cent of their clients understood what partnership meant. A study by outsourcing adviser TPI said outsourcing a function saves on average 15 per cent. A company must retain a small team with the commercial and technical credibility to mange the contractual relationship and mange supplier performance over the life of the contract. Clients also have to specify what services they need. They need a format that sets out qualitative requirements combining outputs, measurable results, and key inputs. Often, specifications are a wish list of outputs that bears no relation to current performance. This may result in the contractor having to improve the service from a low starting point without adequate resources or time. If can also increase costs beyond the means of the client organisation. There is a need to specify (fit for purpose' service requirements just as with any other purchase. It is also often the case that clients do not know the true cost of current services as costs are hidden, delegated or not reported accurately. Only 21 per cent of suppliers in a survey (2006) felt that clients communicated their objectives well. With a figure this low, it is no wonder that their expectations are failing to be met. Forty-four per cent of clients surveyed underestimated the effort involved in managing a supplier. Both customer and providers fail to appreciate the complexity of the contract and the resources needed to manage a structured relationship effectively. Effectively this demonstrates a lack of meaningful engagement between suppliers and clients.

'routsourcing follow such

I

f and Varetto

tionships,

more than

Mini case study - Accenture

Unless companies understand what they want to achieve, whether it is cost savings or innovation, it will not be achieved. The firm's new lO-year 23 million IT outsourcing contract with retailer New Look is a success story. The deal was built on an eight-year relationship, and to ensure smooth running the team meets with New Look daily to review the previous day and plan for the next 24 hours.

~. 2008 and

to .._be achieved

...,.,d

IBM

Ongoing contract management is often either non-existent or far too simplistic. Success lies in a tailored deal that is flexible enough to meet changing business models over the life of the contract. Active management of performance, service and relationship, and measuring these against the market performance, are vital to ensure that mutually acceptable objectives are met.

125

Chapter 4 Outsourcing

How to avoid pitfalls

" ~,

More often than not outsourcing contracts collapse because of a lack of communication between suppliers and buyers. Two out of three clients said they wished they had focused more on their supplier's ability to deliver on their promises. Many of the problems that arise during the course of a contract could have been readily resolved at the outset. This is why buyers and suppliers need to agree exactly what the supplier will deliver, the time frame for delivery and targets that need to be met. A key performance indicator of 20 per cent savings} for example} is not enough; buyers need to be explicit about the benefits they want to achieve, the risks involved and the scope of activities covered. The buyer needs to be aware of what level of service the end user expects and ensure this is part of the service procured from the suppliers. Outsourcing deals are more successful when the buying team works closely with the department being outsourced to agree equally beneficial KPls. This is crucial when outsourcing areas of the business that cannot always be measured in hard metncs, such as HR or training. Once the KPls are set, discussions between buyers and suppliers should continue through monthly reviews, with agreed delivery dates and escalation processes should anything go wrong. It is the supplier's responsibility not just to meet the terms of the contract, but also to prompt the buyer on measuring its success at meeting KPls. Taking a partnership approach can reap dividends in this respect. One strategy is to outsource work in stages. This way, a relationship is established and the supplier gains an understanding of the buyer organisation and its needs whilst the buyer learns how outsourcing works .

TUPE
Transfer of Undertakings (Protection of Employment) Regulations 1981 (TUPE) requires that where an undertaking is transferred from one employer to another} i.e. outsourced, the following} with the exception of pension rights, are taken over by the new employer: the contracts of employment; the rights and obligations arising from these contracts; the rights and obligations arising from the relationship feror and the employees working in that undertaking; any existing collective agreements.

between the trans-

Employees who are employed by the original employer at the time of transfer automatically become employees of the new employer, as if their contracts of employment were originally made with the new employer; service is counted as continuous from the date on which employment COlllmenced with the first employer. 126

How to avoid pitfalls

inls said they r;mtheir could have ~JieISneed to I delivery and

All employees transferred must, under TUPE, retain all their current employment rights and conditions. The employees cannot be dismissed for a transfer-related reason without such dismissal being ruled by an industrial tribunal to be automatically unfair.

The virtual organisation

Some companies are using outsourced services to the point of retaining control} but in an almost 'virtual' capacity. Until recently, functions, services, products and processes that were considered core to the success of a company, such as customer care, had to remain in-house to maintain control, maximise potential advantage and minimise risk. Many of these areas are now emerging as potential candidates for outsourcing. Ford considers virtually anything outside design and final assembly as non-core .

Procurement - a candidate for outsourcing?

A number of authorities have argued that if an organisation is to concentrate on its core competencies then procurement activity may well not be one of them, and the activity might itself be placed in the hands of an external agency. A number of contributors to the 1996 International Purchasing and Supply Education and Research Association (IPSERA) conference held at the University of Eindhoven in the Netherlands presented papers suggesting or predicting the end of 'purchasing' in the traditional or established sense. Benmaridja and Benmaridja (1996) suggested outsourcing the non-critical part of procurement, and proposed a methodology for determining exactly what the non-critical parts are. Stannack and Jones (1996) argued convincingly that purchasing as defined by Burt (1984) - 'the systematic process of deciding what, when, and how much to purchase, the act of purchasing it and the process of ensuring that what is required is received in the quantity specified on time' - was dying, to be replaced by 'the assessment, management and monitoring of supplier behaviour to optimise organisational inputs'. Compelling though the arguments put forward by Stannack and Jones are, the fact remains that at least some the operations suggested by Burt's definition need to be undertaken by somebody somewhere. Perhaps that somebody might be a specialist services contractor, or a vendor rather than a buyer, and perhaps that somewhere will be remote from the customer's place of business. Evans (1996) reported the case of an organisation which developed its interface with suppliers to such an extent that it had a small cadre of wellregarded suppliers who worked strategically in alliance with the company. Supplier appraisal or sourcing work was no longer necessary, negotiations no longer took place, and the routine requisitioning, ordering acknowledgements and payments work took place electronically and automatically. Procurement had improved to such an extent that there was no longer a need

"",tions 1981 employer of pension

bue

een the trans-

It

the time of

~.

as if their ployer; serIoyrnent com-

127

Chapter 4 Outsourcing

for the function. Quality issues were resolved by the quality department, manufacturing teams met regularly to discuss initiatives, and the accountants worked closely with their counterparts at suppliers where prices were concerned. So, with no more need for a procurement department the staff were redeployed and the department closed. Of course, this does not mean that the activities that many regard as being part of the role of procurement had all been rendered obsolete, but rather that they had been relocated to a more appropriate place in the organisation and its interface with suppliers. Direct supplier/customer linkages at the appropriate level and between appropriate managers had obviated the need for procurement in an intermediary role. So, there was not 'outsourcing' of procurement in this case, but some degree of internal re-sourcing. Many commentators report benefits of outsourcing procurement, such as: improved return on investments through improved use of resources; a focus on core competence; access to greater economies of scale. Others point to the negative effects, such as: conflict of interest; loss of control; outsourcing core activities by mistake.

"".ww

Mini case study - Roadchef Motorway Services

In 2004 Roadchef outsourced both direct and indirect spend. Shortage of internal category knowledge prevented the company from realising its true purchasing leverage and potential. Benefits have been: reduced costs, simplified processes, best practice procurement, quality products, and improved Kl'Is overall.

';GiiM~

Unless companies have a robust contract with their service providers which contains such provisions as prescriptive arrangements relating to the sharing of gains, commitment to realising and capturing real savings, agreed processes, and clear scope of work for the services to be provided,

they may find that many of the expected cost savings do not materialise and that the outsourcing is actually unsuccessful. Of paramount importance is the safeguarding of quality by ensuring satisfactory provisions for supplier selection and maintenance of quality standards whilst producing year on year total costs of ownership reduction.

128

References and further reading

:'department, E accountants res were con~e staff were ~ mean that prrement had

Summary

The concept of outsourcing outsourcing which highlight

was introduced with examples various strategies employed.

of best practice

II The

re? to a more

reasons companies outsource are varied and factors such as the removal of non-core activities from the company are cited. success factors for effective outsourcing are included. such as a welldefined activity, a good relationship with a good supplier, and an effective system for contract management and reporting. import-

Iiers. Direct

II Critical

IJ

Appropriate relationships with outsourced providers are of paramount ance, including the sharing of risk and reward, and mutual trust. level agreements (SLAs) were discussed tractual elements to be included. in addition

D Service

to the key con-

II Outsourcing

methodologies were reviewed in detail, emphasising the need to assess risk at each stage of the outsourcing decision-making process. pitfalls were included with best practice adoption advice.

o Outsourcing
III The

concept of the virtual organisation was discussed, itself was posited as a candidate for outsourcing.

whilst procurement

~'Vices
I

References and further reading

Benrnaridja, M and Benmaridja, A (1996), 'Is it interesting for a company to outsource
purchasing Eindhoven Bradley, and under what conditions?' Paper London: presented Gower. a billion', with post error', Supply Management, at IPS ERA Conference, University of Technology. 'Tire giant outsources IT deals - call to save are fraught to develop

~ realising

its

, tnJCurement,

Benn, I et al. (2003), A (2006a), March. Bradley, A (2006b), April.

Strategic Outsourcing,

'Complacent 'Outsourcing

Supply Management, skills', Supply

roriders which

Bradley,

A (2006c),

contract

Management, May. Burt, D N (1984), Proactive Procurement, Cha, A (2007), Cooper, Evans, Galetto, E (1996), 'Outsourcing procurement A (2007), 'To outsource 'The disappearing

Englewood

Cliffs, NJ: Prentice-Hall. out', Supply Management, May. for a structure July. May. Supply Management, guidelines & Hall. August. Tools

from the inside

or not to outsource?', department', M (2003),

Supply Management, 'Outsourcing

F F, Pignatelli,

A and Varetto,

=terialise

and

approach', Benchmarking: An International Journal, 10 (3). Hiles, A (1993), Service Level Agreements, London: Chapman Hunt, M (2004L 'Teaming Boston: with talent', Press. - the rise of the virtual Supply Management, A Business Lonsdale, C and Cox, J (2004), A (1998), Earlsgate 'Outsourcing Outsourcing:

Guide to Risk Management company', Supply

ensuring satisoility standards

and Technique, Matthews, ment,July.

Manage-

129