The current situation, to which future performance can be compared. When considering outsourcing a function it is important to ‘baseline’ both the current true costs to provide those services and also to establish the actual service levels delivered. This baseline of the ‘status quo’ can help in making judgements as to whether outsourcing will improve service levels, reduce cost, or both. The research associated with base lining the current situation can ensure that managers have a fuller understanding of real costs and actual service levels, which can then be used to benchmark against similar organisations, or to act as a comparator to evaluate commercial offers from providers bidding to provide the service externally. See also Outsourcing.
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Discover the world’s largest Glossary of Procurement terms
With over 800 Procurement specific terms (and growing) you will find everything you need to know or thought you knew about the Procurement function. Our aim is to provide you with a comprehensive list collated from the Comprara Groups hub of training and procurement consulting source materials.The Procurement Glossary has been compiled by industry expert Paul Rogers.
