Sourcing & procurement: when reducing spend is not enough
Reducing spend on external suppliers by just a few percentage points can mean the difference between profit and loss. This is particularly true for companies where third party spend accounts for a large portion of the cost of goods sold.
Regardless of how successful your company is performing, driving value through better management of third parties and related spend is a key enabler of competitive advantage. Nevertheless, this is about much more than simply squeezing an additional drop out of your suppliers or tightening your budget.
Within Deloitte, we are passionate about Sourcing & Procurement improvements and our clients share this passion. Together we enable the procurement function to optimize its services by reviewing and improving the processes, systems and organisation.
The last decade the role of procurement within organizations has changed from merely an administrative role towards a value creating function. Our clients achieve this transformation by re-examining their procurement strategy, organizational structure, people and processes and re-aligning where necessary to optimize the value in the extended supply chain.
We help our clients to appreciate what procurement best practices look like, what the key elements of procurement are and how they are interlinked. This allows us to help improve procurement capabilities and bring sustainable benefits to our clients’ business.
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