From Launch to Value Creation
Timelines vary depending on category complexity, contract value, and number of suppliers. Here is a reference timeline for a medium-complexity sourcing event. For simple categories, compress by 30 to 50%. For complex categories (IT outsourcing, capital equipment), extend by 50 to 100%.
Reference Timeline - Medium-Complexity Sourcing Event
| Phase | Duration | Key Deliverables |
|---|---|---|
| 1. Category Profiling | 2-4 weeks | Spend analysis, reference cost model |
| 2. Market Analysis | 1-3 weeks | Supplier long list, Kraljic positioning |
| 3. Strategy Development | 1-2 weeks | Sourcing strategy document, go/no-go |
| 4. RFx Preparation | 2-4 weeks | RFx document, evaluation criteria |
| 5. RFx & Responses | 3-6 weeks | Supplier Q&A, proposals |
| 6. Evaluation & Negotiation | 2-4 weeks | Scoring, shortlisting, BAFO |
| 7. Contract Award | 2-4 weeks | Legal review, signature |
| 8. Implementation | 4-12 weeks | Onboarding, pilot, ramp-up |
| TOTAL | 4-9 months | Typical end-to-end duration |
💡 Key Takeaway: Performance management (Step 7) is ongoing - it never stops. The sourcing event timeline covers 4 to 9 months, but value creation continues throughout the entire contract duration.