How to identify & target procurement savings for your business
Procura’s Opportunity Assessment helps you to identify, evaluate and quantify
the potential for organisation-wide savings in bought-in goods and services expenditure.
This is an essential tool for optimising the effectiveness of any cost improvement programme, providing the in-depth insights required to prioritise opportunities for procurement savings as well as a plan for their delivery.
Our team of procurement specialists will categorise, analyse and benchmark all your bought-in goods and services spend data in order to accurately identify and prioritise opportunities for savings. We will also interview your procurement staff to assess current performance and highlight areas for improvement.
With this information, we’ll develop a business case, savings delivery plan and long-term procurement roadmap.
The process will take around four weeks to complete, is independent and will involve minimal business disruption. It will give you a clear picture of your procurement performance – and you’ll know exactly what savings can be made and the best way to deliver them.
Analysing your spend data
We adopt a structured category-by-category approach to gain a deep understanding of your procurement profile, examining product specifications, order volumes and prices, along with suppliers and existing framework agreements, invoice and purchase order information. Data is consolidated and crosschecked with category managers before key metrics are benchmarked against our own database.
Assessing your procurement reach
We talk to your procurement people to add qualitative insights to our hard data, specifically around areas such as the way your buying processes are structured and how they work, the technology that’s used, and the responsibilities of those who are involved. These insights allow us to assess your procurement approach against best practice and provide recommendations on where to focus for improvement.
Starting your journey to sustainable savings
We’ll evaluate key spend areas to prioritise cost reduction opportunities by value and ease of implementation. After defining the implementation levers, as well as barriers and restrictions, these priority projects will be incorporated into a strategic plan that includes resource estimates and recommendations for organisational and process improvements to support long-term, sustainable savings.
Summary of Service
- Comprehensive spend analysis
- Detailed category-by-category assessment; specs, frameworks, suppliers, volumes & prices
- Benchmarking spend against best-in-class
- Identifying and quantifying savings potential
- Prioritising cost reduction initiatives
- Evaluation of current procurement performance
- Developing an implementation plan
- Recommendations for sustainable improvements
- Four week process with fixed fee