{"id":10180,"date":"2019-08-26T10:46:14","date_gmt":"2019-08-26T08:46:14","guid":{"rendered":"https:\/\/sourcing-force.com\/?p=10180"},"modified":"2022-09-24T15:04:21","modified_gmt":"2022-09-24T13:04:21","slug":"mro-in-depth-spend-visibility-leads-to-savings-opportunities","status":"publish","type":"post","link":"https:\/\/sourcing-force.com\/en\/mro-in-depth-spend-visibility-leads-to-savings-opportunities\/","title":{"rendered":"MRO \u2013 In-depth Spend Visibility Leads to Savings Opportunities"},"content":{"rendered":"<p>[et_pb_section fb_built=&#8221;1&#8243; fullwidth=&#8221;on&#8221; _builder_version=&#8221;4.16&#8243; use_background_color_gradient=&#8221;on&#8221; background_color_gradient_stops=&#8221;rgba(0,0,0,0.5) 0%|rgba(0,0,0,0.5) 100%&#8221; background_color_gradient_overlays_image=&#8221;on&#8221; background_color_gradient_start=&#8221;rgba(0,0,0,0.5)&#8221; background_color_gradient_end=&#8221;rgba(0,0,0,0.5)&#8221; background_image=&#8221;https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/08\/Screen-Shot-2019-08-26-at-4.48.41-AM.png&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_fullwidth_post_title date_format=&#8221;d\/m\/Y&#8221; featured_image=&#8221;off&#8221; text_color=&#8221;light&#8221; _builder_version=&#8221;4.16&#8243; text_orientation=&#8221;center&#8221; custom_padding=&#8221;100px||100px|&#8221; global_colors_info=&#8221;{}&#8221;][\/et_pb_fullwidth_post_title][\/et_pb_section][et_pb_section fb_built=&#8221;1&#8243; fullwidth=&#8221;on&#8221; _builder_version=&#8221;4.16&#8243; background_color=&#8221;f2f2f2&#8243; global_colors_info=&#8221;{}&#8221;][et_pb_fullwidth_menu menu_id=&#8221;16&#8243; submenu_direction=&#8221;downwards&#8221; fullwidth_menu=&#8221;off&#8221; _builder_version=&#8221;4.16&#8243; global_colors_info=&#8221;{}&#8221;][\/et_pb_fullwidth_menu][\/et_pb_section][et_pb_section fb_built=&#8221;1&#8243; _builder_version=&#8221;4.16&#8243; global_colors_info=&#8221;{}&#8221;][et_pb_row _builder_version=&#8221;4.16&#8243; background_size=&#8221;initial&#8221; background_position=&#8221;top_left&#8221; background_repeat=&#8221;repeat&#8221; max_width=&#8221;750px&#8221; use_custom_width=&#8221;on&#8221; custom_width_px=&#8221;750px&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_column type=&#8221;4_4&#8243; _builder_version=&#8221;4.16&#8243; custom_padding=&#8221;|||&#8221; global_colors_info=&#8221;{}&#8221; custom_padding__hover=&#8221;|||&#8221;][et_pb_text _builder_version=&#8221;4.17.6&#8243; global_colors_info=&#8221;{}&#8221;]<\/p>\n<p><span style=\"font-size: 14pt;\">After working on numerous \u201cMRO priority\u201d Spend Data Classification projects over the past few months, and reading some recent blog posts regarding MRO from E-Sourcing forum, I can understand 100% why companies are increasingly focusing on MRO Spends as an area for quick savings opportunities.<\/span><\/p>\n<p>[\/et_pb_text][et_pb_text _builder_version=&#8221;4.17.6&#8243; global_colors_info=&#8221;{}&#8221;]<\/p>\n<p><img decoding=\"async\" class=\"aligncenter size-large wp-image-10183\" src=\"https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/08\/MRO-maintenance-repair-operating-supplies-1024x383.jpg\" alt=\"MRO maintenance repair operating supplies\" width=\"1024\" height=\"383\" srcset=\"https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/08\/MRO-maintenance-repair-operating-supplies-1024x383.jpg 1024w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/08\/MRO-maintenance-repair-operating-supplies-300x112.jpg 300w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/08\/MRO-maintenance-repair-operating-supplies-768x287.jpg 768w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/08\/MRO-maintenance-repair-operating-supplies.jpg 1048w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/p>\n<p>[\/et_pb_text][et_pb_text _builder_version=&#8221;4.17.6&#8243; hover_enabled=&#8221;0&#8243; global_colors_info=&#8221;{}&#8221; sticky_enabled=&#8221;0&#8243;]<\/p>\n<p><span style=\"font-size: 14pt;\">With larger companies with many locations, it\u2019s good that we can find all the different suppliers, items, and services for them. <\/span><\/p>\n<p><span style=\"font-size: 14pt;\">But if their plants or warehouses are located in different parts of the country or world, they would have difficulty consolidating that spend, with some of those suppliers being only regional or state specific. <\/span><\/p>\n<p><span style=\"font-size: 14pt;\">However, with MRO there are a handful of companies from which everyone purchases &#8211; Grainger, McMaster-Carr, Hagemeyer, and MSC Industrial to name a few. <\/span><\/p>\n<p><span style=\"font-size: 14pt;\">With these companies I notice the number of transactions easily totalling in the 100,000 range, and more. <\/span><\/p>\n<p><span style=\"font-size: 14pt;\">The Spend might not be as high for each of these MRO suppliers, as many transactions are under $100, but being able to see that the company is buying almost the exact same thing from all these MRO suppliers is where they will quickly realize,\u00a0\u201cWow, we can have all our plants or\u00a0warehouses buy from one supplier and save X amount of money.\u201d\u00a0<\/span><\/p>\n<p><span style=\"font-size: 14pt;\">One of the common problems that we fix is getting all the nitty- gritty low Spend transactions classified, with very good rules that we have created over time to capture these transactions with a 98%+ accuracy. <\/span><\/p>\n<p><span style=\"font-size: 14pt;\">That last one or two percent is one of our goals as well! <\/span><\/p>\n<p><span style=\"font-size: 14pt;\">Smart, detailed rules make a big difference in classifying the many small dollar transactions, and our experience and technology doing this is easily leverageable across all our customer projects. <\/span><\/p>\n<p><span style=\"font-size: 14pt;\">It seems that almost every company we work with has MRO at the top of the list as a \u201cWave 1\u201d category target. <\/span><\/p>\n<p><span style=\"font-size: 14pt;\">I am increasingly hearing stories from the field that the detailed Spend visibility we provide into MRO is paying off. <\/span><\/p>\n<p><span style=\"font-size: 14pt;\">What&#8217;s your experience?<\/span><\/p>\n<p>&nbsp;<\/p>\n<p>[\/et_pb_text][et_pb_text _builder_version=&#8221;4.17.6&#8243; hover_enabled=&#8221;0&#8243; global_colors_info=&#8221;{}&#8221; sticky_enabled=&#8221;0&#8243;]<\/p>\n<p>\u00a0<span style=\"font-family: arial, helvetica, sans-serif;\"><strong><span style=\"font-size: 14pt;\">To learn more on How to conduct a better Spend Analysis, download your free e-book here:\u00a0<\/span><\/strong><\/span><\/p>\n<p>&nbsp;<\/p>\n<p>[\/et_pb_text][et_pb_text _builder_version=&#8221;4.17.6&#8243; hover_enabled=&#8221;0&#8243; global_colors_info=&#8221;{}&#8221; sticky_enabled=&#8221;0&#8243;]<\/p>\n<p><a href=\"https:\/\/sourcing-force.com\/en\/the-ultimate-guide-to-spend-analysis-white-paper\/\"><img decoding=\"async\" class=\"aligncenter size-large wp-image-8681\" src=\"https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/05\/The-ultimate-guide-to-spend-Analysis-1024x405.png\" alt=\"\" width=\"1024\" height=\"405\" srcset=\"https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/05\/The-ultimate-guide-to-spend-Analysis-1024x405.png 1024w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/05\/The-ultimate-guide-to-spend-Analysis-300x119.png 300w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/05\/The-ultimate-guide-to-spend-Analysis-768x303.png 768w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/05\/The-ultimate-guide-to-spend-Analysis-1080x427.png 1080w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/05\/The-ultimate-guide-to-spend-Analysis.png 1815w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/a><\/p>\n<p>&nbsp;<\/p>\n<p>[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>After working on numerous \u201cMRO priority\u201d Spend Data Classification projects over the past few months, and reading some recent blog posts regarding MRO from E-Sourcing forum, I can understand 100% why companies are increasingly focusing on MRO Spends as an area for quick savings opportunities.With larger companies with many locations, it\u2019s good that we can [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":10186,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[36],"tags":[],"class_list":["post-10180","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-spend-analytics"],"yoast_head":"<!-- This site is optimized with 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