{"id":9037,"date":"2019-06-04T01:22:37","date_gmt":"2019-06-03T23:22:37","guid":{"rendered":"https:\/\/sourcing-force.com\/?p=9037"},"modified":"2022-09-24T15:01:18","modified_gmt":"2022-09-24T13:01:18","slug":"helping-customers-meet-key-challenges-for-spend-management","status":"publish","type":"post","link":"https:\/\/sourcing-force.com\/en\/helping-customers-meet-key-challenges-for-spend-management\/","title":{"rendered":"Helping Customers Meet Key Challenges for Spend Management"},"content":{"rendered":"<p>[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; 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; hover_enabled=&#8221;0&#8243; global_colors_info=&#8221;{}&#8221; sticky_enabled=&#8221;0&#8243;]<\/p>\n<p><img decoding=\"async\" class=\"aligncenter size-large wp-image-9038\" src=\"https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.09.02-PM-1024x354.png\" alt=\"\" width=\"1024\" height=\"354\" srcset=\"https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.09.02-PM-1024x354.png 1024w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.09.02-PM-300x104.png 300w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.09.02-PM-768x266.png 768w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.09.02-PM-1080x373.png 1080w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.09.02-PM.png 1712w\" 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<h2><span style=\"font-size: 18pt;\"><strong>Comprehensive Spend Management is the next step companies are taking to manage Spend and Suppliers.<\/strong><\/span><\/h2>\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;\">The majority of company\u2019s who are doing \u201cSpend Analysis\u201d projects (and many companies have not yet done a formal Spend Analysis project), are primarily focused on doing a basic Spend \u201csnapshot\u201d of some organizational scope (usually not the entire organization) and analyzing that data for sourcing opportunities.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">This process can go on for quite some time, as typically there is much data to analyze, and many sourcing opportunities to pursue. What we have found is those organizations that are maturing past this stage, and establishing a robust and ongoing Spend Management capability within their organization, are\u00a0<strong>realizing significantly greater benefits<\/strong>.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">Spend Management not only entails continually refreshing Spend data across the entire organization, but also having specific integrated applications to manage and measure savings and compliance programs category by category, as well as manage ongoing supplier intelligence.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">These applications add significantly more value and capability to manage costs and suppliers, not available through other systems within the organization.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">Companies that have put in place the ongoing cycle of Spend Management have\u00a0<strong>maintained greater savings over time<\/strong>, and have\u00a0<strong>better managed their organizational Spend<\/strong>\u00a0as the organization grows and changes.<\/span><\/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>&nbsp;<\/p>\n<p><a href=\"https:\/\/sourcing-force.com\/en\/contact\/\"><img decoding=\"async\" class=\"aligncenter size-large wp-image-9042\" src=\"https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.17.57-PM-1024x490.png\" alt=\"\" width=\"1024\" height=\"490\" srcset=\"https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.17.57-PM-1024x490.png 1024w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.17.57-PM-300x144.png 300w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.17.57-PM-768x367.png 768w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.17.57-PM-1080x517.png 1080w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.17.57-PM.png 1626w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/a><\/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;\">We have worked with customers in different industries that have been early adopters of the entire Spend Management process, that have literally realized over $100 million in savings, have won awards, and can provide testimonials that \u201cif not for the Spend Management tools and technology\u201d, these opportunities would have been much less, or not realized at all.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">The return on investment is not only realized, but is much greater than 1-time Spend Analysis and sourcing event activities. The future of \u201cSpend Analysis\u201d as done today will be much more in the year(s) ahead. <\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">It is the maturity to Spend Management that the majority of companies have yet to realize.<\/span><\/p>\n<p><span style=\"font-size: 14pt;\">It is becoming clear that ERP investments and systems do not provide these capabilities, and Spend Management will be a new investment need and evolutionary process for many companies.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">Recognizing this need for advanced Spend Management,\u00a0<strong>Sourcing Force provides seamless products and services<\/strong> to effectively evolve organizations from Spend Analysis to Spend Management.<\/span><\/p>\n<p><span style=\"font-size: 14pt;\">What is key to making this happen in a more advanced way than previous market offerings are advanced data management capabilities that serve as the foundation for Spend Management applications to manage specific types of data processes as an integrated whole (see illustration).<\/span><\/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;\"><img decoding=\"async\" class=\"aligncenter size-large wp-image-9040\" src=\"https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.14.02-PM-1024x327.png\" alt=\"\" width=\"1024\" height=\"327\" srcset=\"https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.14.02-PM-1024x327.png 1024w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.14.02-PM-300x96.png 300w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.14.02-PM-768x246.png 768w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.14.02-PM-1080x345.png 1080w, https:\/\/sourcing-force.com\/wp-content\/uploads\/2019\/06\/Screen-Shot-2019-06-03-at-7.14.02-PM.png 1714w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/span><\/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;\">All companies start with an initial data cleansing\/classification\/Spend Analysis\/Reporting project to drive sourcing opportunities and better understand Spend and Suppliers.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">This initial snapshot effort typically evolves into the need for an ongoing Refresh of the data for better reporting and insights. This further evolves quickly from quarterly to monthly refresh cycles, as capabilities to manage ongoing data are put in place.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">This then quickly evolves into specific performance\/compliance management of suppliers and specific contract terms, category-by-category, to support the completed sourcing activity\/scope and \u201clock it down\u201d for specific measurement, dashboards, and specific organizational management.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">This then evolves into a desire for more data beyond the historical Spend information \u2013 data from outside the company to support key supplier intelligence and commodity\/industry benchmark information. This is more a \u201cforward\u201d looking Spend Management capability.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 14pt;\">And in the most advanced customers, the final evolution involves variations of enterprise analysis and financial management, such as Spend Allocations, as more and more data can be collected, integrated, and tailored for specific Spend Management needs.<\/span><\/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>[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Comprehensive Spend Management is the next step companies are taking to manage Spend and Suppliers.The majority of company\u2019s who are doing \u201cSpend Analysis\u201d projects (and many companies have not yet done a formal Spend Analysis project), are primarily focused on doing a basic Spend \u201csnapshot\u201d of some organizational scope (usually not the entire organization) and [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":9038,"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-9037","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-spend-analytics"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - 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