Summary
Most enterprises use value-added resellers (VARs), but in our research we found that clients are dissatisfied with their resellers' value for money. Sourcing managers should work out what they are spending with resellers across all product and business units and source it as a single strategic event. You may end up awarding parts to multiple VARs, but give them the chance to bid on the package. Sourcing teams should focus negotiations on extra services the VAR can provide, its global reach, and how much power it has with its software publisher.
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