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Procurement Outsourcing Services in the UK: Market Research Report

Market Research • Market Size • Industry Statistics • Industry Analysis • Industry Trends

Procurement Outsourcing Services Market Research Report | SIC M70.228 | Aug 2014

A source of growth: Demand is rising as businesses focus their approach and improve efficiency

IBISWorld’s Procurement Outsourcing Services market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

Report Snapshot
Market Share of Companies
Accenture plc Accenture plc market share
Capita plc Capita plc market share
Xchanging plc Xchanging plc market share
Industry Statistics & Market Size
Revenue
£1bn
Annual Growth 10-15
3.6%
Annual Growth 15-20
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Profit
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Employment
19,384
Businesses
1,832
Industry Analysis & Industry Trends

The Procurement Outsourcing Services industry is expected to grow moderately during the five years through 2014-15, even though economic conditions were weak for much of the period. This is mainly because firms chose to outsource in order to improve cost efficiencies when operating conditions were difficult. Demand from public sector organisations increased because of pressures on public spending. In addition, rising IT and telecommunications adoption made it easier to outsource procurement-related activities. However, weak capital expenditure, lower procurement volumes and a fall in the number of firms operating in United Kingdom at the start of the period constrained demand for the industry's services. Industry revenue is projected to grow at a compound annual rate of 3.6%... purchase to read more

Industry Report - Industry Investment Chapter

The level of capital intensity is determined by comparing the human and capital equipment factors of production using wages and depreciation as proxies. Comparatively high depreciation costs indicate substantial investment in depreciable assets, such as buildings and equipment, resulting in high capital intensity. Conversely, comparatively high wage costs indicate high labour intensity.

The industry exhibits a low level of capital intensity. In 2014-15, the capital-to-labour ratio is expected to be 1:26.22, which indicates that for every £1.00 spent on capital, operators will spend £26.22 on labour. The level of capital intensity is low because the industry is highly reliant on skilled employees with very particular knowledge, rather than machines... purchase to read more

 


Industry ProductsRelated ReportsTable of Contents

What is the Procurement Outsourcing Services Industry?

Businesses in this industry provide direct and indirect procurement services for their clients. Procurement outsourcing allows client companies to reduce their costs and become more efficient.

Industry Products
Direct procurementIndirect procurement
 
Industry Activities
Direct procurementIndirect procurement


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