Making Multisourcing Work


One of the key features of the outsourcing industry over the past few years has been the trend away from large, end-to-end outsourcing deals. Companies that make use of outsourcing are increasingly looking to so-called multisourcing arrangements, where the business receives its services from a number of best-of-breed service providers.

This marks a clear contrast from the feature that really caused outsourcing to burst into life in the 1990s, i.e., the expansion of full-scope, full-service, long-term outsourcing contracts with a single prime service provider. For whatever reason – risk mitigation, avoidance of having all the eggs in one basket, or a preference for more flexible, niche suppliers – companies’ IT and administrative

functions are changing the way they procure outsourced services.

But it’s no surprise that as the companies adopt multisourcing solutions, someone ought to check the wider implications for the company’s operation, including any impact on business risks, possible cost savings, flexibility, and service performance. That role, as so often, falls to the finance function. This article focuses on such issues from the CFO’s perspective.

LOADING PDF: If there are any problems, click here to download the file.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Morrison & Foerster LLP | Attorney Advertising

Written by:


Morrison & Foerster LLP on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.

Already signed up? Log in here

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.