Procure to Pay Transformation
Business Challenges
A Silicon Valley based technology business was grappling with the complexities of multiple currencies, geographical locations and large number of vendors spread across the globe.
Solutions
The team focused first on quick wins, including eliminating dormant vendors, cleaning data, and creating online access to standard commercial contracts. Next, the team introduced a procurement performance matrix with a standard supplier selection and formalized reporting process. New supplier surveys and analytics were developed. Finally, the team designed a supplier portal that integrated with the company’s financial reporting system.
Results
Employees’ morale improved as non-value add work was eliminated. Stakeholder knowledge increased with the constant real-time flow of information, leading to faster, more informed decisions. The company was able to derive global economies of scale from its large vendors while enabling cost savings for smaller vendors.