Make vs Buy
Careful consideration of cost, lead time, and supply chain issues, along with the resources and capabilities available, helps in make vs buy decisions
Contact usHow your business benefits
Aids in risk mitigation
- While analyzing factors that can aid in make vs buy decision, long-term and short-term threats that can impact the company are identified
- Analyzing such threats enables firms to develop contingency plans such as reducing production failures and adapting to changes in regulatory requirements
Control quality and protect IP
- A key deciding factor in make vs buy decision is the availability of expertise and resources that can ensure the quality of the product/service
- While a lack of expertise would drive manufacturers toward outsourcing, to protect IP and trade secrets insourcing is preferred
Focus on core business
- Allocate more time, resources, and attention to core competencies by outsourcing non-core activities
- Improve specialized knowledge and expertise by engaging in in-sourcing
Adapting to changes in market/regulatory requirements
- Unforeseen changes in supply (such as raw material shortage due to black swan events) or regulatory requirements (like trade sanctions) can have severe cost implications
- Accurate forecasting of such changes and adopting a make vs buy plan that can avert it is key to the success of a business
Why choose SpendEdge?
Maximize profit
Maximizing profit is one of the key priorities for businesses. We analyze all aspects related to cost, lead time, supply disruption, and quality, among others, in terms of insourcing and outsourcing to offer a comprehensive approach that helps companies determine the most cost-effective manufacturing method.
Finding alternatives
Our experts work relentlessly to check certifications and analyze business processes to identify cost-draining elements while establishing the pros and cons of make vs buy strategy. To improve feasibility, we offer alternatives for expensive raw materials, sustainable substitutes, and suppliers with lower profit margins. Such suggestions aid businesses to improve their ESG and avoid supply chain disruption.
Get the latest updates
Make vs buy is not a one-time decision for businesses. To ensure profitability, businesses need to regularly assess their make vs buy decision based on changes in demand and regulatory requirements. We offer the latest updates on commodity pricing, billing rates, and changes in taxes and regulatory requirements.
Play to your strength
We are experts in insight generation. We often compare the strength of our clients and their partners with potential suppliers before offering make vs buy advices. Our insights have helped businesses to play based on their strengths and outsource aspects that they lack expertise in
Featured Case Study
How SpendEdge Helped CPG Giant Streamline Contract Manufacturer Selection Process
Challenge: Faced with intense competition and the need to improve profit margins, our client turned to SpendEdge for assistance in overcoming their business challenges. One of the main strategies involved migrating cost-intensive operations to low-cost destinations.
Solution: Our team at SpendEdge assisted the client in streamlining their contract manufacturer selection process. Leveraging our expertise and market research methodology, we identified key contract manufacturers for the client’s ready-to-eat product line.
Result: The client successfully addressed their business challenges and achieved improved profit margins and reduced operating costs. All the while, also enhancing product quality and expanding manufacturing capabilities.
Talk to One of Our Experts
The factors to consider during make vs buy decision are too many and any failure to accurately assess them can lead to cost overrun. Our expertise in insight generations can help you in making informed decisions.
Talk to Our ExpertsInsights
Category Intelligence
Gain insights related to your key spend categories, ranging from important updates, outlook, and engagement models, to in-depth supply-chain risk analysis.
Supplier Intelligence
Improve supplier selection decision making and supplier relationship management through our services covering supplier identification, supplier updates and alerts, and risk and sustainability analysis.
Strategy Support
Improve strategic decision making through our services related to negotiation advisory, best practices, risk mitigations, supplier KPIs and SLAs, and cost optimization mechanisms.
Category Cost and Pricing
Keep a close look at price movements and forecasts for key commodities and the impact of different cost drivers to formulate effective cost reduction strategies.