ESourcing Capability Model (eSCM)

What is the eSourcing Capability Model (eSCM)?

The eSourcing Capability Model (eSCM) is a framework that provides a set of best practices and guidelines for managing the sourcing of goods and services in a digital environment. It was developed by the IT Governance Institute (ITGI) in collaboration with leading practitioners and academics in the field.

The eSCM framework is designed to help organizations optimize their sourcing processes and improve the efficiency and effectiveness of their procurement activities. It consists of six capability levels that outline the key components of successful eSourcing, including:

  • Strategy and governance: This includes establishing a clear vision and strategy for eSourcing, as well as defining the roles and responsibilities of the various stakeholders involved.
  • Supplier relationship management: This includes establishing and maintaining relationships with suppliers, as well as managing the performance of these suppliers.
  • Sourcing process management: This includes defining and implementing the processes involved in sourcing goods and services, including the identification of potential suppliers, the negotiation of terms, and the selection of suppliers.
  • E-Sourcing tools and technologies: This includes the use of electronic tools and technologies to support the sourcing process, such as e-auction platforms, electronic request for proposal (RFP) systems, and electronic catalogues.
  • Sourcing performance measurement: This includes the use of metrics and other performance indicators to track and measure the effectiveness of the sourcing process.
  • Continuous improvement: This includes the ongoing review and improvement of the eSourcing process in order to achieve ongoing efficiency and effectiveness.

The eSCM framework is widely used by organizations around the world to improve their sourcing practices and achieve greater value from their procurement activities.

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