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Capita- Sourcing & Procurement

Vendor Analysis

by Janet Irwin

published on Jun 14, 2018

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Report Overview:

This NelsonHall vendor assessment analyzes Capita's offerings and capabilities in Sourcing & Procurement.

Who is this Report for:

NelsonHall’s Sourcing and Procurement Services Vendor Assessment for Capita is a comprehensive assessment of Capita’s sourcing and procurements service offerings and capabilities designed for:

  • Sourcing managers monitoring the capabilities of existing suppliers of sourcing and procurement services and identifying vendor suitability for outsourcing services
  • Vendor marketing, sales and business managers looking to benchmark themselves against their peers
  • Financial analysts and investors specializing in the sourcing and procurement services sector.

Scope of this Report:

The report provides a comprehensive and objective analysis of Capita’s sourcing and procurement service offerings, capabilities, and market and financial strength, including:

  • Analysis of the company’s offerings and key service components
  • Revenue estimates
  • Identification of the company’s strategy, emphasis and new developments
  • Analysis of the profile of the company’s customer base including the company’s targeting strategy and examples of current contracts
  • Analysis of the company’s strengths, weaknesses and outlook.

Key Findings & Highlights:

Capita is a major BPO provider in the U.K., with long-term experience in large scale, long-term back- and middle-office contracts in sectors including local government, central government, insurance and financial services. It has also built a large customer management services BPO business, serving sectors including telecoms and retail.

Capita has developed sourcing and procurement (S&P) services capabilities from:

  • The transfer of personnel within very large multi-tower local government BPO contracts which included procurement services. An example is Southampton City Council. However, these personnel typically continued to provide procurement services to that council only
  • Leveraging its internal procurement division to support external clients
  • The acquisition in 2011 of Red Procurement for £1m plus £1m earnout, adding 19 FTEs, to develop its procurement consultancy expertise
  • Hiring externally, targeting procurement professionals with over ten years' experience.

 It does not conduct any internal training.

Capita does not offer multi-category S&P services on a standalone basis, but as part of a broader outsource, or in a "work-alongside” sourcing support model to existing clients of other services.

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