What are the different levels of Services Procurement (also known as SOW) Solutions?

Services Procurement (SOW) Solution offerings

Achieving optimal efficiency and value within services spend categories can be a challenge, and in today's business environment where there is a big focus on total value, as well as a premium placed on internal resource capacity to manage this spend, there is much to be said for the benefits of outsourcing this procurement function to a third party.

At Allegis Global Solutions (AGS), we have developed a range of solutions that our clients can take advantage of, depending on the level of value and service desired.

Our services procurement solutions have evolved in recent years and we are now witnessing a considerable growth in appetite among clients wishing to free up their own valuable resources and also drive new or incremental value by outsourcing this function. We have a commitment to leveraging the latest technology to deliver clear benefits for our clients and we do this by offering three levels of solution:

Level 1 - Resource Management

Fundamentally, Level 1 of the services procurement solution is committed to visibility of resources. With a focus on Resource Management, it’s important that organizations know specifically who all of their third-party labor is, and where they are located.

Key benefits of our Resource Management solution include:

  • Manage on-boarding and off-boarding activities of all supplier resources engaged via an SOW

  • Resource tracking and resource maintenance activities

  • Helpdesk function

Level 2 - SOW Administration

The second level of our services procurement solution is typified by a far greater focus on planning and improving insight for clients. Vendor Management Systems (VMS) and P2P systems enable AGS to provide better understanding of overall spending and areas for potential efficiency improvement as well as spend management opportunities.

At the same time, we are able to free up internal client resources by taking on more of the day-to-day functions.

In addition to the benefits of the Resource Management solution, key benefits of our SOW Administration solution include:

  • Increasing efficiency of the SOW contracting process through standardized intake, assisting with SOW project qualification and approval protocols, and ensuring speed to value

  • Tracking and compliance of time, milestones or deliverables, including SOW extensions and/or renewals

  • Managing supplier performance and relationships

Level 3 - Source to Settle

In our most comprehensive offering, this is where the services procurement solution becomes true procurement outsourcing, with a full-service offering that ensures companies can free up multiple internal procurement resources for other more strategic responsibilities. It allows us to support much of the tactical work while enabling your resources to focus on internal business alignment, strategy and supplier management that can deliver real and sustainable benefits.

In addition to the benefits of Resource Management and SOW Administration, key benefits of our Source to Settle solution include:

  • Facilitation of the competitive sourcing of strategic and non-strategic SOW projects

  • Management of the negotiation of rates and discounts; contract decisions for SOW projects

  • Provision of deep insight around what is being bought and what is being paid within what are often vague and general spend categories

Clearly, organizations at all levels of procurement maturity could benefit from working with us. You can find out more about our services procurement solutions by downloading our Emerging Trends to Manage Your Indirect and Services Procurement Spend whitepaper or by contacting our expert team here!

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    Jon Kesman
    Written by Jon Kesman
    With more than 20 years of procurement experience across various organizations and industries, Jon Kesman, Global Procurement Director for Allegis Global Solutions (AGS), serves as part of our Center of Excellence for Services Procurement and SOW management. Working to continually expand this offering, Jon helps to ensure that AGS clients enjoy the full extent of benefits available through their programs. Over the course of his career, Jon has delivered outstanding results in both advisory and consulting roles, as well as in steady-state procurement organizations. The vast majority of his procurement category expertise lies in contingent workforce and professional services categories. Prior to joining AGS, Jon was an executive procurement sponsor for one of AGS’ MSP clients, and spent eight years partnered with AGS to expand that program across the US and into the UK, including incorporating independent contractor compliance solution to mitigate risk. Additionally, as a consultant, Jon spent more than three years working with clients to develop and implement strategic sourcing and category management plans as a part of significant procurement transformation programs. Jon also spent more than five years in the procurement BPO space working with clients on contingent labor and professional services category development and execution. Jon’s coequal roles as a solution provider and buyer also provide him with a unique advantage. As a leader in steady-state corporate procurement organizations, Jon’s extensive experience over a combined 12-year period drove results related to cost savings, risk mitigation, and managed spend across multiple organizations in the categories of professional services and contingent labor. With his distinctive blend of experience, Jon is able to understand many of the challenges facing AGS’ clients when it comes to managing their contingent workforce and services spend categories, thus ensuring that client requirements are met by the best solution that AGS has to offer. Jon earned his bachelor of arts degree in Purchasing and Operations Management from the acclaimed Supply Chain Management Program at Michigan State University. He has been a frequent presenter at industry events hosted by ISM, Staffing Industry Analysts, SIG and ProcureCon.