You have captured significant savings with strategic sourcing. Now what? We provide an array of advanced services to take sourcing and procurement to the next- level.
Our Spend Management Services:
- Category Management
- Compliance Management
- Demand Management
- Supplier Performance Management
- Category Price Audit Services
Our innovative Category Management solution is a web-based tool that produces easy-to-use dashboards and drill down reports for line item detail for target categories. View key metrics, track spend and savings, automatically audit pricing and gain insights not available from supplier reports or internal systems. You can manage a category at a world-class level, spending just minutes per month reviewing clear charts and graphs to quickly spot spend optimization and demand management opportunities.
Maverick spend with non-preferred, higher-cost vendors diminishes savings, increases administrative costs and can cause your company to lose valuable preferred agreements. We will help you implement our exclusive best practices to achieve 99% vendor compliance rates. We can also provide ongoing monitoring through our managed service with our new Compliance Management dashboard.
You can achieve dramatic savings, up to 100%, by eliminating unnecessary spend. Our quick hit analysis and ongoing support can drive out waste and establish best practices to sustain lean operations and strong margins. If you’ve mastered best practices in strategic sourcing, it may be time to move to the next-level.
Supplier Spend Management
The performance of your key suppliers can have a direct impact on your operations and financial success. For critical suppliers, ISG can develop a low cost, world-class Supplier Performance Management (SPM) program to measure and monitor performance and maintain peak effectiveness.
Category Price Audit Services
Studies have shown that pricing error rates can range from 1-2% of spend. Our own experience has shown that in some categories and for some suppliers, the error rates can be as high as 10%.
This is particularly true if:
- The supplier has poorly integrated systems often as a result of acquisitions
- Local supplier offices operate on their own P&L
- Category pricing is complex, with a large number of SKUs or items
- Prices are allowed to change during the contract
Our Category Pricing Audits are designed to:
- Recover overcharges
- Validate pricing in Cost-Plus or Guaranteed Margin programs
- Verify best-in-market pricing for outsourced programs (such as print management)