Trend Watch -- MultiSourcing

Over the last few years “multi-sourcing” has been heralded as a new era or new trend in sourcing. The concept has been around for many years, albeit under other names --- such as “best of breed” and “selective” sourcing. I see this model as a natural evolution for certain organizations, whose high process discipline, governance and sourcing /organizational sophistication allow it to work with multiple providers and act as the “prime” in the overall delivery model. There are organizations that have used this strategy to great success for many years, but there are also those that have tried it and failed. Why does it work for some and not others?