Opportunity to signatureYou select and you signFree audit first

Source to contract, run as one cycle

Opportunity assessment, sourcing, award papers and renewals, from a named team in India and the Middle East.

Procurement team working through sourcing documents around a table
About the service

What is source-to-contract outsourcing?

It is the upstream half of procurement, run by an outside team. Finding the opportunity, planning the sourcing, running the event, writing the award recommendation, getting the contract signed, and then holding on to what that contract promised. The downstream half, requisitions to payment, is procure-to-pay and is bought separately.

The boundary is worth being precise about, because most confusion in this category comes from it. Source-to-contract starts when someone notices a category is worth going to market on and ends the day the contract is signed. Procure-to-pay starts at the next requisition raised against that contract. Put the two together and you have source-to-pay. We sell them separately because most mid-market teams need one badly and the other only eventually.

Where our authority stops

We recommend, you decide. Supplier selection, contract signature and delegated authority stay inside your organisation, and legal review stays with your counsel. We are not lawyers and we do not give legal advice. What we hand over is the evidence, the paperwork and the calendar.

The reason the upstream half is worth buying is that the contract keeps costing you after it is signed. World Commerce & Contracting, working with Deloitte on The ROI of Contracting Excellence in June 2023, drew on more than 1,200 organisations and estimated average value erosion at 8.6 percent of contract value. The best performers ran at a little over 3 percent, the worst above 20 percent. That is the gap between what was negotiated and what the organisation actually got.

What makes the figure interesting is what it was compared against. What the same research does not find is a technology gap. It reports that 78 percent of organisations had made some investment in contract lifecycle management over the previous five years, against an erosion figure that has barely moved: 8.6 percent, where the 2014 IACCM baseline was 9.2 percent. The two are measured over different windows and across different populations, so neither explains the other — but a market that has largely bought the tooling and still loses this much after signature is not short of a repository. It was somebody whose job is to work the cycle: chase the sourcing calendar, write the award paper, file the signed contract properly and notice a renewal ninety days before it renews itself.

That work is measurable in time as well as money. The Hackett Group defines the sourcing cycle as the business days from an end user communicating a requirement to the signing of the supplier agreement, and its July 2025 research puts Digital World Class organisations 24 percent shorter than their peer group. Most of the difference is not brilliance in the negotiation. It is the days nobody was assigned to.

Coverage

Where we deliver

The regions we sell into, and the rules that govern each engagement.

  • Australia and New Zealand

    Our working day overlaps ANZ mornings, so award papers land before your approval meetings. The Australian Privacy Principles govern cross border handling.

  • Canada

    PIPEDA, and Law 25 in Quebec. Bilingual EN/FR tender and contract correspondence where the market requires it.

  • United Kingdom

    UK GDPR, with an IDTA covering transfers to India. Public sector tendering rules are your counsel's call, not ours.

  • GCC, UAE and Saudi Arabia

    Our Middle East team gives local hours cover and local supplier market knowledge. Saudi PDPL and UAE data protection law are written into the DPA.

  • United States

    Committed overlap hours in the contract, not best efforts, so award decisions do not wait a day for a question. SOC 2 Type II is on our certification roadmap.

  • Europe

    GDPR first, with multi-language supplier and contract handling. Strongest fit today in the Netherlands, the Nordics and Ireland.

What the team actually does

Five areas of work, run as one cycle by the analysts assigned to your account.

Analyst reviewing category spend charts to find sourcing opportunities
Opportunity assessment

Where the money actually is. Contracts about to expire, spend running with no agreement behind it, and the categories worth taking to market this year.

Contract register reviewed
Expiries in the next year
Spend with no contract
Ranked by what it is worth
Learn More
Sourcing pipeline planned out on a board with owners and dates
Sourcing pipeline

A calendar of events with owners and dates on it, so sourcing happens on a plan instead of on the day a renewal notice lands.

Events planned and sequenced
Owners and dates agreed
Timetable actively chased
Progress reported weekly
Learn More
Two colleagues reviewing bid comparisons before an award recommendation
Award recommendation

Offers modelled like for like and written up as a paper your approvers can sign, with the reasoning visible on the page.

Like for like comparison
Scored on agreed criteria
Written recommendation
You take the decision
Learn More
Indexed contract files labelled and stored in a contract repository
Contract lifecycle

Signature through to repository. One indexed place holding the agreement, the terms that matter and the person who owns it.

Signature pack prepared
Indexed contract repository
Key terms abstracted
An owner named per contract
Learn More
Renewal dates and notice periods being written into a calendar
Renewals and savings

A renewal calendar with notice periods on it, and the savings you agreed tracked to something finance can reconcile.

Notice periods diarised
Auto renewals flagged early
Price rises checked against terms
Savings tracked to the ledger
Learn More

What we need from you

Four things. The last one is the one that decides how well this works.

Contract register and spend documents handed over for the audit
Send the contract register

Whatever you have. A folder, a spreadsheet, or an export from a contract system. It does not need to be tidy first.

Contracts and expiry dates
Category spend history
In whatever state it is in
Gaps are a finding, not a problem
Client contact named as the single owner for the engagement
Name one owner

One person who can answer how decisions get taken here and who signs what.

A single point of contact
Knows the approval route
Signs off the SOPs
Joins the weekly call
Read only access to spend and contract systems being provisioned
Provision access

Read access to spend and contract data, and to your sourcing tool if you run one. We do not need to touch payments.

Least privilege roles
Named users only
Or a scheduled extract
Revoked by you, any time
Signature and approval authority agreed and written down
Agree the authority

Who selects, who signs, and what counts as a saving. Written down once, before the first event runs.

Delegated authority written down
The award decision stays yours
Signature stays yours
Savings definition agreed
How engagement starts

How the cycle comes across

Four to six weeks from first conversation to a team running your sourcing calendar, with a paid pilot on one real category before any longer commitment.

Free spend audit

We map what you have. The contract register, what expires in the next twelve months, which spend has no agreement behind it, and which categories are worth taking to market this year.

Contract register and expiry dates
Spend running with no contract
Written baseline report, yours to keep
Fixed fee pilot on one category

One category taken the whole way, opportunity through to a signed contract, so you judge the work on a real outcome rather than on a proposal.

One category, start to signature
SOPs and templates written
Success criteria agreed up front
Run it as a standing desk

Your named analysts take the sourcing calendar and the renewal calendar and run them, with monthly reporting and capacity that moves with the pipeline rather than with your hiring cycle.

Named analysts with backup cover
Monthly pipeline and savings reporting
Renewals worked ninety days out
Comparison

In-house team, Procuriva, or a consultancy

An honest read on where each option wins. If you sign four contracts a year, none of this is worth buying and we will tell you so.

In-house team
ProcurivaOur model
Consultancy or large BPO
Who selects the supplier
You do
You do, on our recommendation
Often influenced by them
Who signs the contract
You do
You do, always
You do
Time to stand up
Months, with hiring and ramp up
Weeks, including a pilot category
Months, with procurement and onboarding
Cost model
Fixed salaries plus overhead
Per sourcing event, or a retained analyst
Day rates, or a large fixed contract
Gainshare on savings
Not applicable
No, we charge a fee
Common, and it shapes the advice
Who watches renewals
Whoever remembers
A dated calendar with notice periods
Usually out of scope
Contract repository
Often a shared drive
Indexed and handed over, yours throughout
Theirs, or their software's
What you keep afterwards
Everything
Register, templates, models and SOPs
A final report
Best fit
Few contracts, or highly technical spend
Mid-market, roughly 200 to 2,000 staff
Enterprise transformation programmes
The stages

The cycle, stage by stage

Each stage is a service in its own right, and can be bought on its own. This page is what it looks like when they run as one cycle with one team behind them.

Frequently asked questions

The questions procurement, finance and legal teams ask before handing the upstream cycle to an outside team.

What is source-to-contract?

The upstream half of procurement: identifying an opportunity, planning and running the sourcing event, evaluating what comes back, recommending an award, getting a contract signed, and managing that contract through to renewal or exit. It ends at signature and the obligations the signature creates.

What is the difference between source-to-contract and procure-to-pay?

Source-to-contract decides what you buy, from whom and on what terms. Procure-to-pay is the transactional half that follows: requisitions, purchase orders, receipting and invoices. The handover point is the signed contract. Run both together and the whole thing is called source-to-pay.

Is source-to-contract the same as source-to-pay?

No. Source-to-pay is source-to-contract plus procure-to-pay. Vendors often use the terms loosely because their software spans both. If you are comparing providers, ask which end of the cycle they staff, because a lot of source-to-pay pitches turn out to be a repository and an invoice workflow with nobody running the sourcing.

What does an S2C BPO actually do day to day?

Keeps the sourcing calendar moving. Reviews the contract register for what expires, builds the case for which categories go to market, prepares and runs the events, models the bids, writes the award recommendation, prepares the signature pack, files the executed contract with its key terms abstracted, and works the renewal list ninety days ahead.

Can you outsource contracting without losing control?

Yes, provided the authority stays where it is. We recommend and prepare. Supplier selection, contract signature and delegated authority stay with you, and your counsel keeps legal review. If a provider offers to select suppliers or sign on your behalf, that is a different service with a different risk profile and it should be priced and governed accordingly.

Do you give legal advice or redline contracts?

No. We are not lawyers. We prepare the commercial schedules, flag terms against your own playbook and position, and package everything for your legal reviewer. Legal drafting and advice stay with your counsel or your outside firm.

How much does source-to-contract outsourcing cost?

Two models: a fixed fee per sourcing event, or a monthly fee for a retained analyst running the calendar. We quote after the free audit, because the honest number depends on how many events a year you run, how complex the categories are and the state of the contract register. Anyone quoting before seeing those is guessing.

Do you work on gainshare?

No. Gainshare sounds aligned and quietly is not. It pushes effort toward whatever is easiest to record as a saving, and it turns the baseline into an argument at exactly the moment you want a straight answer. A fee keeps the incentive on doing the work properly.

Is contract lifecycle management software not enough?

It helps, but the evidence suggests it is not the binding constraint. World Commerce & Contracting and Deloitte, in The ROI of Contracting Excellence in June 2023, found that 78 percent of organisations had made some investment in contract lifecycle management over the previous five years, while the average value erosion it measured stood at 8.6 percent of contract value against a 9.2 percent IACCM baseline from 2014. Software stores contracts. It does not chase a renewal or write an award paper.

How much value do organisations actually lose on contracts?

The most credible public figure is 8.6 percent of contract value on average, from World Commerce & Contracting and Deloitte's 2023 research across more than 1,200 organisations. The best performers ran at a little over 3 percent, the worst above 20 percent. We will not predict your number before the audit, but the spread tells you the work is worth measuring.

How long does a sourcing cycle take?

For a straightforward indirect category, roughly six to twelve weeks from opportunity to award recommendation, plus your negotiation and legal review. The Hackett Group measures this as business days from an end user communicating a requirement to the signing of the supplier agreement, and its July 2025 research puts Digital World Class organisations 24 percent faster than peers. Most of that gap is dead time, not skill.

Who owns the contract repository?

You do, throughout. It is built in your systems or in a structure you can export in full at any time, and the abstracted key terms are yours. We will not put your contract book somewhere it can only be reached through us.

How do you track whether the savings are real?

Against a baseline agreed in writing before the event runs, and reported in a way finance can reconcile rather than a spreadsheet only procurement believes. Where a saving is a cost avoidance rather than a reduction in the ledger, we label it that way. Mixing the two is how savings reports lose their audience.

What happens with auto-renewing contracts?

They go on a dated calendar with the notice period on it, and we work them ninety days out. That is the single most common source of value quietly leaking away: a contract that renews on last year's terms plus an uplift because nobody served notice in time.

Do we have to buy all three stages?

No, and it is usually not where to start. Strategic sourcing, RFx coordination and category management are sold separately and each has its own page. Buying the whole cycle makes sense when the problem is that nobody owns the calendar, rather than that one event needs help.

Which sourcing and contract systems do you work in?

SAP Ariba, Coupa, Jaggaer, Ivalua, Zycus, GEP, Icertis and DocuSign, plus the SharePoint and shared drive arrangements a lot of mid-market teams actually run on. We work inside your system rather than asking you to adopt ours, so there is no migration and no new licence.

Is it safe to give an offshore team our contracts?

Access is scoped by you, granted to named people, and revoked through your own leaver process. We contract on standard clauses, name every sub-processor, and work to GDPR, UK GDPR, PIPEDA, the Australian Privacy Principles and Saudi PDPL. Pricing and contract terms are handled under confidentiality obligations that survive termination. ISO 27001 alignment is in progress and SOC 2 Type II is on the roadmap. We state status honestly rather than showing badges we do not hold.

What happens if we bring it back in house?

You keep the contract register, the repository, the templates, the models and the SOPs, because they are yours the whole way through and they sit in your systems. Transition out support is written into the contract from day one rather than negotiated when you want to leave.

Find out what your contract book is costing.

We map the register and the expiries. You keep the report either way.