Improving visibility, control and value in services procurement in 2026

Back in the early 2020s, services procurement rose in prominence as businesses looked to find top talent on a project-driven basis. In the UK, the extension of IR35 rules into the private sector drove this rise. More widely, services procurement became a ‘go-to’ way of delivering work at a time of acute talent scarcity.

In 2026, services procurement continues to gain popularity as organisations prioritise flexibility and agility, specialised expertise, niche skills, and efficient access to talent in an increasingly competitive global market.

In fact, a recent eBook from Guidant Global in partnership with Ardent Partners stated that by now, 49.8% of the average company’s total workforce will be comprised of external talent.

However, a significant number of businesses are failing to fully capitalise on the potential of this way of working. Poor visibility and control, unnecessarily high levels of risk, and inefficient buying cultures are common services procurement problems in large organisations.

Moving forward, we expect more procurement teams than ever will look to improve their organisations’ use of services procurement. Here are the top things procurement should be looking for:

How to boost ROI from services procurement with an MSP and VMS

Even when agreed outputs and timescales offer good value to a business, it can be all too easy to let the project slip. Poor monitoring and management of deliverables, timelines, milestones and outcomes can quickly turn a great deal into a drain on budgets.

Projects across a range of sectors standardly go over budget. As just a couple of examples, 41% of all IT projects go over budget, with only just over half (53%) are completed on time. A terrifying 85% of all construction projects come in over budget.

Unless services providers are supervised and benchmarked diligently, there is absolutely no guarantee that their use will pay dividends, or project will come in on-time and on-budget.

Managing services procurement effectively as part of your MSP

In order to boost the ROI of services procurement, it is clear that those overseeing projects must tighten the reins and prioritise project visibility. There should be clear and consistent processes, for example, around supplier selection, rates, terms and conditions, milestone setting, and payment approvals.

Engaging an MSP to manage services procurement through a vendor management system (VMS) is almost always the most efficient option. Communicating the value of this route internally is key to getting buy-in from the rest of the business.

External specialists can bring benefits across four key areas:

Scoping and sourcing

Management

Strategy

Spend

However, choosing the right MSP to partner with is key - those that can deliver both expertise and a cutting-edge technology platform are best placed to optimise services procurement strategy.

Whilst people should always remain at the heart of services procurement, using technology for efficiency and accuracy is undeniably smart. New research from Guidant Global, which surveyed over 240 procurement leaders, revealed that the most significant anticipated change in services procurement is the adoption of new technology platforms, with 44% of respondents highlighting this as a key focus.

How to mitigate top services procurement risks

Services procurement can be a great alternative to traditional time and materials contracts in many instances, but it is not a perfect solution, and procurement leaders can’t allow an increased use of services procurement to justify poor buying behaviour. By being aware of potential risks, procurement professionals can:

Improve buying behaviours

Bring greater consistency, and

Inject more clarity and structure into project milestones and outcomes.

Misclassification of contingent workers arguably remains the biggest risk, particularly for those who are inexperienced in managing talent and projects in this way. The primary reason for this, is that some mistakenly believe that services procurement is simply a ‘workaround’ to avoid IR35-associated risk, rather than a distinct means of procuring niche skills and expertise.

A services procurement approach only works when the scope of work, and deliverables, can be clearly defined and measured – and status determinations must always reflect this.

Other top risks to consider (and manage) with services procurement

Ensuring that suppliers are on and off-boarded correctly is crucial. Security-wise, this means having processes in place to guarantee that digital and physical access is granted and revoked correctly. Consistency in on and off-boarding processes also assists with quality control, ensuring that suppliers are chosen based on past performance or ability to deliver on ROI – rather than previous friendly relationships.

Poorly defined milestones and outcomes can also be a major pitfall when it comes to managing services procurement contracts. There is a real risk of paying over the market rate, or being locked into unfavourable and varying terms, if service agreements are not reviewed and scrutinised. Once contracts have been signed, there is little option but to let the arrangement run its course.

How to initiate procurement culture change in 2026

In order to really improve project outcomes, procurement professionals must be ready to initiate a culture shift within their own teams and beyond. This is crucial to overcome any historic ‘us vs. them’ mindset, which still exists in some organisations between procurement professionals and in-house talent acquisition teams, or hiring managers.

A couple of decades back, most organisations were handling procurement in a fully centralised way: A CPO and their procurement team would control all business spend. Since then, procurement has become largely devolved within many large organisations, with individual hiring managers taking responsibility for purchasing decisions.

This has created a culture in some businesses where procurement leaders routinely think of others in their organisation as ‘rogue’ or ‘maverick’ spenders. The truth is that most organisations have been good at delegating spend authority down to ‘the coalface’, but less good at passing along the skills and tools that hiring managers need to manage resources wisely.

Procurement’s opportunity to shape a better buying culture

Hiring managers have a lot on their plates and are often not experts in specialist areas such as compliance and the mitigation of security risks. Making sure workers are correctly classified, for example, is both difficult to track and critical for the employer. Similarly, contract management and supplier negotiations can be complex as both parties strive to attain their desired outcomes.

By using a VMS managed by an experienced MSP, forward-thinking organisations can overcome any historic ‘us vs. them’ scenarios which persist. Moving all project spend into a VMS means procurement teams can finally gain visibility over what’s being spent. New project briefs are made by project managers within the system, bringing a level of transparency to the buying process that procurement could previously only dream of.

With these standardised processes and protocols in place, procurement can better support and guide hiring managers to make the right decisions - instead of experiencing frustration at what they see as their ‘poor’ buying behaviour.

How to improve your services procurement management and performance

The use of services procurement might have exploded over the past few years, but while a significant number of businesses are reaping the true rewards of this way of working, others could benefit from taking their services procurement to the next level. As true experts in their field, procurement professionals must lead this change.

Working with an experienced MSP is the best way to make sure that terms and conditions, rates and outcomes of services procurement projects are favourable. By capitalising on a specialist provider’s market intelligence and supplier management expertise, procurement leaders can gain valuable insights which can inform initial agreements - and provide insight and analysis throughout the project.

Contact Guidant Global to discover how we can elevate your services procurement strategy and deliver measurable results for your organisation.