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<\/p>\n[et_pb_section fb_built=”1″ admin_label=”section” _builder_version=”4.16″ global_colors_info=”{}”][et_pb_row admin_label=”row” _builder_version=”4.16″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text admin_label=”Text” _builder_version=”4.17.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n
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[\/et_pb_text][et_pb_text admin_label=”Text” _builder_version=”4.17.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n
[\/et_pb_text][et_pb_text admin_label=”Text” _builder_version=”4.17.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n
Supplier normalization is the process of taking supplier names with multiple spellings, mis-spellings, abbreviations, etc. and normalizing them (cleaning them up so that they\u2019re all spelled the same) either manually or using data rules.<\/span><\/p>\n For example, finding all suppliers spelled \u201cFederal Xpress\u201d or \u201cFedEx\u201d and replacing them with \u201cFederal Express.<\/span><\/p>\n [\/et_pb_text][et_pb_text admin_label=”Text” _builder_version=”4.17.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” hover_enabled=”0″ global_colors_info=”{}” sticky_enabled=”0″]<\/p>\n [\/et_pb_text][et_pb_text admin_label=”Text” _builder_version=”4.17.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n It takes place at the beginning of a spend analysis<\/a> project when data is collected and integrated from numerous company data sources, such as: <\/span><\/p>\n payments in AP, items in PO, PCard expenditures, expenses, financial data, and more.<\/span><\/p>\n On an ongoing basis, all new data should be normalized following the same rules initially set up to ensure consistency.<\/span><\/p>\n [\/et_pb_text][et_pb_image src=”https:\/\/sourcing-force.com\/wp-content\/uploads\/2022\/09\/supplier-names.jpeg” _builder_version=”4.17.6″ _module_preset=”default” hover_enabled=”0″ sticky_enabled=”0″ alt=”supplier names” title_text=”supplier names” align=”center”][\/et_pb_image][et_pb_text admin_label=”Text” _builder_version=”4.17.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n Why is Supplier Normalization Important?<\/b><\/span><\/p>\n [\/et_pb_text][et_pb_text admin_label=”Text” _builder_version=”4.17.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n Normalizing supplier names ensures that you are reporting and analyzing your true spend with a given supplier. This in turn ensures that you are achieving the greatest volume savings potential, as well as managing the number of suppliers you work with. Using the Pareto Principle, or Pareto Analysis, you would want 80% of your spend to come from 20% of your suppliers.<\/span><\/p>\n [\/et_pb_text][et_pb_text admin_label=”Text” _builder_version=”4.17.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n Hopefully, that covers everything you ever wanted to know about supplier normalization.<\/span><\/strong><\/p>\n [\/et_pb_text][et_pb_text admin_label=”Text” _builder_version=”4.17.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}”]<\/p>\n [\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":" This blog post focuses specifically on supplier normalization.What is Supplier Normalization?Supplier normalization is the process of taking supplier names with multiple spellings, mis-spellings, abbreviations, etc. and normalizing them (cleaning them up so that they\u2019re all spelled the same) either manually or using data rules. For example, finding all suppliers spelled \u201cFederal Xpress\u201d or \u201cFedEx\u201d and […]<\/p>\n","protected":false},"author":2,"featured_media":8713,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"When does Supplier Normalization Take Place?<\/b><\/span><\/h2>\n
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<\/a><\/p>\n\r\n\r\nThis blog post focuses specifically on supplier normalization.<\/strong><\/span>\r\n\r\n \r\n\r\nWhat is Supplier Normalization?<\/b><\/span>\r\n\r\nSupplier normalization is the process of taking supplier names with multiple spellings, mis-spellings, abbreviations, etc. and normalizing them (cleaning them up so that they\u2019re all spelled the same) either manually or using data rules. For example, finding all suppliers spelled \u201cFederal Xpress\u201d or \u201cFedEx\u201d and replacing them with \u201cFederal Express.<\/span>\r\n\r\n \r\n\r\nWhen does Supplier Normalization Take Place?<\/b><\/span>\r\n\r\nIt takes place at the beginning of a spend analysis<\/a> project when data is collected and integrated from numerous company data sources, such as: payments in AP, items in PO, PCard expenditures, expenses, financial data, and more. On an ongoing basis, all new data should be normalized following the same rules initially set up to ensure consistency.<\/span>\r\n\r\n \r\n\r\nWhy is Supplier Normalization Important?<\/b><\/span>\r\n\r\nNormalizing supplier names ensures that you are reporting and analyzing your true spend with a given supplier. This in turn ensures that you are achieving the greatest volume savings potential, as well as managing the number of suppliers you work with. Using the Pareto Principle, or Pareto Analysis, you would want 80% of your spend to come from 20% of your suppliers.<\/span>\r\n\r\n \r\n\r\nHopefully, that covers everything you ever wanted to know about supplier normalization.<\/span><\/strong>\r\n\r\n \r\n\r\n<\/a>","_et_gb_content_width":"","footnotes":""},"categories":[37,41],"tags":[],"class_list":["post-8712","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-supplier-performance","category-supplier-relationship-management-srm"],"yoast_head":"\n