2022-03-28-德勤-Broadening_the_frame_54页_17mb

Broadening the Frame

The Case for Integrated Third-Party Management (TPM)

Key concepts:

• Importance of Third-Party Relationships: Organizations increasingly depend on third-party networks for value creation, and this dependency has grown significantly (40% of respondents in surveys). Failure to manage risks in these relationships can lead to systemic issues.
• Need for Integrated Approach: Traditional siloed management (e.g., focusing only on sourcing or risk) has hindered efficiency. An integrated approach across the entire third-party lifecycle (sourcing, procurement, risk management, etc.) is needed to realize benefits.
• Benefits:
  • Cost Savings: 15-25% savings per process area (e.g., sourcing, procurement, risk management).
  • Revenue Growth: 15-30% additional contribution to net revenue from supply chain improvements.
  • ESG Compliance: Integrated TPM ensures better environmental, social, and governance (ESG) adherence.
  • Shareholder Value: Up to 20-33% increase in EBITDA and share prices.
  • Non-Financial Benefits: Agility, innovation, better stakeholder perception.

Implications of Siloed Management

• Challenges: Duplication of effort, lack of visibility, higher costs, and delays in decision-making. Organizations report challenges in implementing integrated strategies due to organizational structure and lack of unified data.

Recommendations

• Digital Maturity and Technology: Leverage technology (e.g., analytics, AI, RPA) and managed services to accelerate integration.
• Mindset Shift: Move from cost reduction to a broader focus on profitability, agility, and responsible business practices.
• Incremental Implementation: Choose between “land and expand” (phased migration) or “big bang” (full integration) based on organizational capabilities.

Overview of Integrated Approach

• Use managed services to connect disparate systems, provide real-time monitoring, and achieve a 360-degree view of the third-party ecosystem.
• Key to success: Cross-functional alignment, commitment from leadership, and technology enablement.

Global Regulatory and ESG Trends

• Regulators are intensifying scrutiny of third-party risks, leading to higher fines. Integrated management is crucial for compliance and reputation.

Summary of Key Findings

• Organizations must adopt an integrated third-party management (TPM) approach to address growing risks and seize opportunities for efficiency and revenue growth.
• Digital tools and managed services are essential to enable integration and real-time decision-making.
• Integrated TPM is becoming a strategic priority to drive innovation, meet ESG commitments, and enhance competitiveness.