How 'corporate virtualization' is changing the game for Dutch businesses
Businesses around the world have been on a journey, whether deliberate or not, of cost externalization. What was once a labor cost, is now a supplier invoice. A significant portion of any business’ revenues are now being spent outside their own organization.
Revenues spent on labor costs now account for only 9.6 per cent across the Dutch AEX25. In contrast, non-labor costs account for 76.1 per cent.
The research highlights that management practice has not kept pace with this greater externalization of cost – with only a relatively small number of businesses having transformed their supplier relationship management models to account for this change.
Our research sets out to explore the extent to which this has occurred in the Dutch AEX25 and explore the implications of this overlooked change.
