Over the past twenty years, leading organisations have recognised the value that transforming Procurement can deliver to their financial performance. This is through reducing supplier costs, reducing supplier related risks, improving working capital and helping to increase business revenues.
Collectively, these leading companies have delivered billions of euros of savings and dramatically improved their overall business performance. However, our research indicates that few procurement leaders feel that they captured more than one third of the total supplier value available to them. Procurement Transformation is the route to the untapped supplier value, substantial cost reduction and a greater than 10:1 return on investment. Our structured approach to procurement transformation drives change through four key levers:
Client programmes address these change levers in three phases: