A sourcing plan sets out how a specific procurement requirement will be taken to market and awarded. It turns a category or sourcing strategy into an executable sequence with scope, stakeholders, supplier approach, evaluation method, timetable, resources and approvals.
What should a sourcing plan include?
Include the requirement, demand and spend baseline, incumbent position, market findings, sourcing route, candidate suppliers, evaluation criteria, negotiation approach, risks, milestones and governance.
How is it different from a sourcing strategy?
A sourcing strategy explains the commercial choices and intended market position. The plan organizes the work needed to execute those choices for a defined initiative.
How are milestones set?
Work backward from the required contract or supply date, allowing time for requirements, supplier response, evaluation, negotiation, approvals, contracting and transition.
Who approves the plan?
Approval should match value and risk. Business, procurement, finance, legal, technical and risk owners may each confirm the parts they own before market contact.
How should the plan change?
Update it when requirements, market conditions or timing materially change. Record the reason, decision and impact rather than silently replacing the baseline.
