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Effective Strategic Sourcing must be supported by an enabling infrastructure of processes, analysis, staff involvement and participation, and strategic focus. Based on a cross industry review, ten specific areas for evaluation and improvement are offered that could add five to ten percent net savings to an organization's bottom line. Each finding is reviewed and actions are recommended if gaps exist. In conclusion, by assessing supply management organization in relation to these ten areas and by developing a gap analysis and improvement plan, company can improve its supply chain results. Estimates of an additional 5 - 10% net savings are possible, depending on the starting point and the size of the gaps in current status or performance.
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