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Due to the fact of increasing globalization, mergers & acquisitions, cost pressure and growing expectations of the customers regarding price and quality, companies have to reconsider their strategy and organizational structure. If companies are not able to stand the challenge and can’t fulfill the expectations they will loose customers and consequently market share. To remain competitive they have to shorten the development time for products and optimize methods, structures and organizations in regard to cut the costs. To face these challenges appropriate solutions are needed. One possibility to achieve this is outsourcing. The special type IT-outsourcing (ITO) is already accomplished by many companies but more and more companies are taking into account the possibility of business process outsourcing (BPO). BPO is very critical and has to be considered carefully. Companies give away their in-house functions to external service provider. This comprises a dependency and requires a high degree of trust. Once the decision is made it is hard and cost intensive to reverse it. Finding an appropriate business model for example shared service centers, joint ventures or outsourcing to an external provider and identifying adequate onshore, nearshore or offshore locations requires profound knowledge and intensive consulting support.
The first chapter introduces into this thesis. Chapter 2 gives a fundamental theoretical background of the outsourcing terminology including the types of outsourcing, intelligent sourcing terminology and different outsourcing models. The next chapter covers BPO of procurement, a special area of BPO. It describes the relevance for outsourcing the procurement function with its advantages and disadvantages. Furthermore the current market situation as well as possible locations for procurement BPO are part of this chapter. Part 4 presents gedas company and provides general information regarding the organization and the service portfolio. In chapter 5 information about the development of the assessment tool are provided. The gedas consulting framework is briefly introduced and it is shown how the intelligent sourcing framework can be integrated into to the existing gedas consulting framework. The main part covers the description of the development of the assessment tool for procurement BPO and its different components followed by a case study.
Inhaltsverzeichnis (Table of Contents)
- 1 Introduction
- 1.1 Motivation
- 1.2 Objectives and scope
- 1.3 Outline of the document
- 2 Terminology
- 2.1 Consulting
- 2.2 Outsourcing
- 2.2.1 Types of outsourcing
- 2.2.1.1 IT-outsourcing
- 2.2.1.2 Business process outsourcing
- 2.2.2 Intelligent sourcing location terminology
- 2.2.2.1 Offshoring
- 2.2.2.2 Nearshoring
- 2.2.2.3 Onshoring
- 2.2.3 Outsourcing models
- 2.2.3.1 Full business process outsourcing
- 2.2.3.2 Shared service center
- 2.2.3.3 Joint venture
- 3 Procurement business process outsourcing
- 3.1 Why outsource procurement functions?
- 3.2 Market trends
- 3.3 What can be outsourced?
- 3.4 Locations
- 3.5 Examples for procurement BPO
- 4 Presentation of the IT service company gedas AG
- 4.1 About the company
- 4.2 History
- 4.3 Organization of the company
- 4.4 Service portfolio
- 5 Development of a business process outsourcing assessment tool
- 5.1 Development of the procurement BPO assessment tool
- 5.1.1 Questionnaire
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This diploma thesis, conducted within the "Road to Growth" project, aims to develop an assessment tool for procurement business process outsourcing (BPO). The project sought to create a consulting framework leveraging the advantages of foreign locations to boost companies' economic development. This thesis focuses specifically on the procurement aspect, creating a tool including a questionnaire, benchmarking tool, and evaluation model. A case study verifies the tool's functionality and applicability.
- Development of a procurement BPO assessment tool.
- Analysis of market trends in procurement outsourcing.
- Evaluation of different outsourcing models and locations.
- Benchmarking and assessment methodologies for procurement processes.
- Application of the developed tool in a case study.
Zusammenfassung der Kapitel (Chapter Summaries)
1 Introduction: This chapter sets the stage for the thesis, outlining the motivation behind the project and its objectives. It provides a brief overview of the scope of the research and the structure of the document. The overall goal is clearly stated, laying the foundation for the subsequent chapters.
2 Terminology: This chapter defines key terms and concepts related to consulting, outsourcing, and intelligent sourcing. Different types of outsourcing, including IT outsourcing and BPO, are explained, along with various location strategies like offshoring, nearshoring, and onshoring. The chapter carefully differentiates various outsourcing models such as full BPO, shared service centers, and joint ventures, providing a crucial conceptual foundation for understanding the later chapters’ discussions of procurement BPO.
3 Procurement business process outsourcing: This chapter delves into the specifics of procurement BPO. It explores the reasons why companies choose to outsource procurement functions, examining market trends and highlighting what aspects of procurement can be effectively outsourced. It also analyzes potential outsourcing locations and provides real-world examples of successful procurement BPO implementations. This chapter synthesizes information essential for evaluating the effectiveness and viability of outsourcing procurement processes.
4 Presentation of the IT service company gedas AG: This chapter presents the IT service company gedas AG, the context within which this thesis was developed. It introduces the company, its history, organizational structure, and service portfolio. Understanding gedas AG provides critical context for understanding the development and application of the assessment tool, showcasing the practical implications of the thesis within a real-world corporate setting. The information presented contextualizes the development of the assessment tool, highlighting the practical application of theoretical concepts.
5 Development of a business process outsourcing assessment tool: This chapter presents the core contribution of the thesis: the development of a comprehensive assessment tool for procurement BPO. The detailed design and functionality of the tool, which includes a questionnaire, is discussed. This chapter is central to the thesis, representing the culmination of the research and development efforts, explaining the tool's features and the rationale behind its design choices. The design incorporates the concepts introduced in previous chapters, demonstrating a practical application of the theoretical groundwork.
Schlüsselwörter (Keywords)
Procurement Business Process Outsourcing (BPO), Assessment Tool, Outsourcing Models, Intelligent Sourcing, Offshoring, Nearshoring, Onshoring, Benchmarking, Market Trends, Case Study, gedas AG.
Frequently Asked Questions: Procurement Business Process Outsourcing (BPO) Assessment Tool
What is the main focus of this document?
This document presents a diploma thesis focused on developing an assessment tool for procurement business process outsourcing (BPO). It analyzes market trends, evaluates outsourcing models and locations, and incorporates a case study to verify the tool's functionality.
What are the key objectives of the thesis?
The key objectives include developing a procurement BPO assessment tool (including a questionnaire and benchmarking tool), analyzing market trends in procurement outsourcing, evaluating different outsourcing models and locations, and applying the developed tool in a case study.
What topics are covered in the different chapters?
Chapter 1 (Introduction): Introduces the project, its motivation, objectives, and scope. Chapter 2 (Terminology): Defines key terms like consulting, outsourcing, offshoring, nearshoring, onshoring, and various outsourcing models. Chapter 3 (Procurement BPO): Explores reasons for outsourcing procurement, market trends, outsourcable aspects, locations, and examples. Chapter 4 (gedas AG): Presents the IT service company gedas AG, providing context for the thesis. Chapter 5 (Assessment Tool Development): Details the development of the procurement BPO assessment tool, including the questionnaire.
What types of outsourcing are discussed?
The document discusses IT outsourcing, Business Process Outsourcing (BPO), and different location strategies such as offshoring, nearshoring, and onshoring. Various outsourcing models, including full BPO, shared service centers, and joint ventures, are also explained.
What is the purpose of the assessment tool?
The assessment tool is designed to help companies evaluate the feasibility and effectiveness of outsourcing their procurement processes. It includes a questionnaire and benchmarking capabilities to aid in decision-making.
What is the role of the case study?
The case study serves to verify the functionality and applicability of the developed assessment tool in a real-world setting.
Which company is used as a case study example?
The thesis uses the IT service company gedas AG as a case study to contextualize the development and application of the assessment tool.
What are the key terms and keywords related to this thesis?
Key terms include Procurement Business Process Outsourcing (BPO), Assessment Tool, Outsourcing Models, Intelligent Sourcing, Offshoring, Nearshoring, Onshoring, Benchmarking, Market Trends, Case Study, and gedas AG.
What is the overall goal of the "Road to Growth" project?
The "Road to Growth" project aims to create a consulting framework that leverages the advantages of foreign locations to boost companies' economic development.
What makes this document valuable for academic research?
This document provides a comprehensive overview of procurement BPO, including a detailed analysis of market trends, different outsourcing models, and the development of a practical assessment tool. The inclusion of a case study strengthens its practical relevance for academic use.
- Citar trabajo
- Mathias Trojahn (Autor), 2006, Development of an Assessment-Tool for Procurement Business Process Outsourcing, Múnich, GRIN Verlag, https://www.grin.com/document/116646
