Analyst Insight: Signing a contract and getting the business ramped up is just the beginning of an outsourcing deal. The real work is shaping the relationship and making the parties operate not only as a high-performance team, but also to allow the companies to embrace the dynamic nature of business and keep the parties aligned as "business happens." It's essential to have a flexible and cooperative governance framework. - Kate Vitasek, faculty of the University of Tennessee's Center for Executive Education, and founder, Supply Chain Visions

Analyst Insight: The pressure of increased supply chain complexity, a byproduct of more trading partners and global geographies, is the top factor driving best-in-class companies (cited by 59 percent) to further increase their outsourcing to logistics service providers as one key solution to managing increasing supply chain costs. This direction is compelling when performance considerations for the best-in-class companies (top 20 percent) compared to average (50 percent) and laggard (30 percent) are taken into consideration. - Bob Heaney, lead research analyst, supply chain execution, and Bryan Ball, supply chain management vice president and principal analyst, both of Aberdeen.

Analyst Insight: While the global economy continues to remain sluggish, there is still a rising demand for new products, sources and markets. Nearly all multinational corporations (MNCs) have learned more about globalization and the risks and rewards that come with it. But MNCs and middle market companies still struggle with supply chain disruptions, higher costs of logistics, and issues caused by longer lead times. Supply chain managers have to plan and execute better globally. At the same time, more effective strategies and methods are evolving to overcome these challenges and achieve profitable growth. - Gene Tyndall, EVP Global Solutions, Tompkins International