We are starting to see purchasing groups take over the purchasing function of large companies.
The companies subcontract out the purchasing function where once they were held in-house.
Thoughts - Is this trend cause by:
- The realization of real efficiencies in subcontracting out the RFQ, Procurement and Payment Processing functions
- Brain Drain in the Procurement sector - in other words, companies cannot find qualified procurement staff and are tired of trying
- Current Cycle - in other words, 10 years from now, these same companies will find out it is better to hire procurement staff than it is to outsource
It will be interesting to hear others opinions on, is there generally less (or more) direct contact with owners in the current business environment.