EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Limited, each of which is a separate legal entity. Ernst & Young Limited is a Swiss company with registered seats in Switzerland providing services to clients in Switzerland.
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Agile Sourcing: The agile response to today’s sourcing requirements
Agile Sourcing has emerged as a critical response to the evolving demands of modern sourcing in the age of digital transformation. Traditional procurement principles – reliant on long-term, fixed contracts – struggle to keep up with the pace of change. They lack the flexibility needed to respond to new technological developments, shifting market dynamics and evolving stakeholder needs. Agile Sourcing, by contrast, introduces a dynamic, responsive approach that enables organizations to adapt quickly and efficiently to changing circumstances. This is especially relevant in sectors like the public sector and life sciences, where the ability to act swiftly and with precision increasingly marks the difference between stakeholder satisfaction or frustration.
Should organizations make, buy or partner?
A foundational element of agile sourcing is the Make/Buy/Partner decision framework. Instead of making a single decision at the start of a project, teams revisit this choice regularly as the project evolves. They may begin by developing a solution in-house, only to later discover that buying an existing product or forming a strategic partnership delivers greater value, speed or both. This iterative thinking is a cornerstone of agility, ensuring sourcing decisions stay aligned with current project needs and external conditions.
Frontrunners rely on proven tools
To support this agile mindset, leading organizations rely on proven tools. Collaborative workshops, such as EY’s future-back, challenge participants to envision long-term organizational goals and then plan backwards in iterative steps. This method encourages flexibility and ensures that sourcing strategies are not just reactive, but purposefully aligned with strategic objectives. By involving both internal stakeholders and external suppliers early on, organizations can co-design sourcing processes that are faster, more transparent and better suited to rapidly changing needs.