In economic upturns, companies prioritize productivity increases. Demand increases, existing customers want to be served and new customers can be acquired. However, it is essential for the long-term success of companies to consolidate purchasing conditions. The aim is to identify synergies across locations in order to reduce costs sustainably. This applies in particular to the non-strategic area or indirect costs (indirect spends). In recent years, the interim manager has been able to support a large number of companies from all sectors in reducing their costs through optimized purchasing and improving their purchasing processes.
Realizing quick wins in purchasing
The first step on the path to efficient purchasing is often the realization of quick wins. The interim manager focuses on immediately improving conditions while maintaining at least the same quality without generating additional costs or effort.
Significantly reducing non-strategic costs
There is often considerable potential in the 2-digit percentage range in non-strategic costs. These are costs that are not or only partially related to the actual provision of services. However, the reduction of these secondary costs is often postponed in companies - due to a lack of time, insufficient market power or a lack of knowledge in the various areas from waste disposal to temporary work.
Reducing costs is not just about conditions, but also about motivating employees to accept negotiated changes and preventing maverick buying (i.e. purchasing without involving the purchasing department). This is often achieved in conjunction with process optimization in purchasing. One example is eProcurement solutions to optimize the entire source-to-pay process. This is often associated with big wins: the purchasing team becomes more efficient and can absorb the additional work associated with growth. This efficient way of purchasing also leads to considerable time savings in the specialist departments. In addition, guided buying reduces the error rate.
Creating liquidity for improvements in eProcurement and eInvoice
The costs in indirect purchasing can often be quickly reduced by 50 percent or more without affecting your own employees. On the contrary: the additional liquidity immediately available was often used in the interim manager's projects to implement improvements in the area of eProcurement and eInvoice.
The range of improvements supported is very broad. It ranges from the optimization of one category, such as telecommunications, to the implementation of eProcurement solutions for 1,500 sales outlets.
Sustainable optimization strategies for procurement
Employees and clients alike are satisfied with the interim mandates for procurement optimization. The fact that the interim manager involves the employees right from the start contributes to the high level of acceptance. Occasional resistance is met rationally. This creates an environment that can continue to grow successfully. In addition, the structures remain flexible for possible market consolidations, which leads to competitive advantages in difficult times. Whether reviewing and reducing purchasing costs by negotiating new conditions or introducing modern purchasing systems: The interim manager approaches purchasing optimization projects in such a way that the successes have a lasting effect.
