LONDON--(BUSINESS WIRE)--SpendEdge, a leading provider of procurement market intelligence solutions, has announced the completion of their free downloadable article on the strategies to reduce indirect spend. The article provides key insights into the key strategies that can be adopted by companies in different industries to manage their indirect spend. It also highlights the challenges faced by companies in optimizing indirect spend.
As indirect spend operations are contributing to more than 40% of the company's overall spend, companies have been compelled to manage indirect spend apart from making improvements in production spending. However, managing indirect spend is not that easy as most of it is not consolidated, leveraged, or integrated by purchasing. In such a scenario, companies require robust strategies that can help them improve indirect spend management. To know the strategies that can help companies manage indirect spend, download this free resource.
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Key Strategies to Reduce Indirect Spend:
Strategy 1: Develop a Sustainable Sourcing Framework
Companies need to analyze the value chain and identify cost saving opportunities to develop a sustainable sourcing framework. The framework enables companies to develop economical solutions and select the right suppliers while addressing service delivery and buyer requirements on time.
To know more about strategies that can help in managing indirect spend, download the complete article here.
Strategy 2: Choose Preferred Suppliers
To reduce expenditure and minimize "maverick spend", companies need to identify and negotiate contracts with key suppliers. This helps them to obtain goods at lower prices and achieve better cost savings.
Wondering how managing indirect spend can help companies to identify cost saving opportunities? Request a free proposal and access our complete portfolio of spend management solutions today!
Strategy 3: Set KPIs
The variety of supplies and the presence of different types of vendors makes it challenging for companies measure the performance of their suppliers. Setting KPIs such as contract compliance and customer satisfaction that is applicable to the variety of vendors helps organizations to track the performance of suppliers.
Get in touch with our analysts to know the strategies that can be helpful in managing indirect spend.
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