How adidas Realized Benefits from a Contrary IT Multisourcing Strategy

In traditional IT outsourcing and multisourcing arrangements, clients isolate vendor tasks, resulting in modular sourcing structures. But this approach can stifle vendor competition, result in vendor lock-in and hinder organizational flexibility. The full article describes how adidas adopted a new type of multisourcing strategy, which embraces vendor overlaps to overcome these constraints, and delivers a range of benefits. adidas’ strategy shows that it is possible to avoid the downsides associated with modular multisourcing— providing that the client invests sufficient effort, shows intent and puts adequate care into selecting vendors. By nurturing vendor overlaps, adidas has been able to promote vendor competition.