Outsourcing Advisory

Outsourcing allows companies to reduce operating costs, enable enterprise strategies and focus on core-capabilities, while gaining access to world-class expertise in non-core functions.

In recent years, outsourcing has helped businesses to maintain a competitive advantage by aligning supply chain with overall strategic objectives. Increasingly, outsourcing has provided organizations with a more efficient way to simplify growing business lines and reduce costs.

When considering outsourcing, it is important to understand the impact on your entire business, and more specifically, its impact on your supply chain. Financial, operational and risk assessments are critical to making the right outsourcing decisions for selecting manufacturing, call center, logistics, warehousing, information technology, and accounting suppliers.

Alvarez & Marsal Supply Chain professionals work with your team to identify opportunities for
outsourcing, and then find the best fit in an outsourcing supplier. We begin by conducting a total cost analysis, taking into account the impact of change on your organization. We specifically examine costs and resources, as well as compliance, services and quality issues to help you select the right outsourcing supplier.

As part of a privately-held, owner operated firm, we do not have affiliations with third party vendors and will provide objective and independent advice. Our firm's operational heritage has also instilled a results-driven approach in our consultants. We make recommendations that can be executed, and assist in the planning, communications and management of outsourcing transitions. Our experienced professionals have significant functional supply chain expertise and can serve in interim management roles when needed.

Specifically, Alvarez & Marsal employs a collaborative approach to help your team focus on:

  • Quantifying existing resources (i.e., labor, expenses, capital)
  • Analyzing requests for quote (RFQs)
  • Examining indirect costs
  • Developing business scorecards and metrics to measure the success of outsourcing arrangements
  • Cash flow analyses
  • Developing ongoing management review processes
  • Facilitating dialog between you and your supplier
  • Developing compliance scorecards
  • Risk assessments related to the effect of outsourcing arrangements on customers, and the quality and speed of service
  • Operational assessments (i.e., human resources, real estate)

Leadership. Problem Solving. Value Creation.