Sole Sourcing
Sole sourcing occurs when only one supplier is capable of providing a required item, leaving the buyer no practical alternative.
Sole sourcing is driven by necessity rather than choice — the item may be patented, uniquely specified, or the only compatible option for existing equipment. Because there is no competition, buyers must manage the relationship carefully to keep pricing and service reasonable.
Procurement teams document sole-source justifications for audit and governance, and periodically test whether an alternative has emerged. It differs from single sourcing, where alternatives exist but the buyer deliberately chooses one supplier.
Frequently asked questions
- What is sole sourcing?
- Sole sourcing is when only one supplier can provide a required item — for example a patented or uniquely specified product — so there is no practical alternative.
- How is sole sourcing controlled?
- Buyers document a sole-source justification for governance and audit, manage the relationship closely to keep terms fair, and periodically check whether an alternative supplier has become available.
Related terms
Single Sourcing
Single sourcing is the deliberate choice to buy a particular item from just one supplier, even though alternatives exist.
Read definitionDual Sourcing
Dual sourcing is the practice of using two suppliers for the same item to balance competitive pricing against supply resilience.
Read definitionAudit Trail
An audit trail is a complete, time-stamped record of every action in a process, showing who did what and when, so transactions can be traced and verified.
Read definitionExplore related across the knowledge graph
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