TPI, the largest sourcing data and advisory firm in the world and a unit of Information Services Group, Inc. (ISG) (Nasdaq: III), an industry-leading information-based services company, today announced new research showing it has helped clients save an estimated $50 billion through the use of sourcing strategies.
In a random sample of 120 transactions it advised on in the last five years, TPI found that its clients saved on average more than 33 percent by sourcing. After one-time and ongoing management expenses, the savings averaged more than 17 percent. Over the life of the agreements, the clients saved an average of $70 for every $1 they spent with TPI on advisory fees.
TPI has advised on more than 800 sourcing transactions since founding the sourcing advisory industry in 1989.
Said Michael P. Connors, Chairman & CEO, ISG and TPI: “Sixty percent of our clients told us that reducing costs was their number one reason for implementing sourcing strategies last year. This research shows that the savings they are looking for are real and achievable, and we look forward to helping our clients find even more in the future.”
Mr. Connors discussed the research today in his closing remarks at the 2010 TPI Americas Sourcing Leadership Exchange (SLE) in Boston. The conference, now in its 10th year, brought together nearly 150 executives from 70 major corporations for two days to discuss “The Current Face of Sourcing: Capitalizing on Economic, Technological and Political Change.”
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