1 Reply Latest reply on Feb 17, 2011 6:38 AM by tminahan

    Increasing Spend Under Management

    Ken Miklos Ariba Contributor

      A long-standing Aberdeen benchmark states that 5% to 20% can be saved  on each new dollar brought under (strategic sourcing) management...a  compelling objective indeed.


      One of our solution  breakout sessions at Ariba LIVE will focus on this topic as we'll examine the top "7  Ways to Increase Spend Under Management". This is your chance to  participate. Spend analysis? Improved collaboration? Review/modify  organizational structure? What else? How have you increased your organizational managed spend and what were the results?

        • Re: Increasing Spend Under Management
          tminahan Ariba Contributor

          As the guilty analyst responsible for issuing that initial benchmark, I am curious to hear how well it's holding up -- particularly for those companies that have been applying strategic sourcing and compliance methods to a particular spend category for a number of years. My hunch is that the percentage cost reduction narrows overtime; but that savvy sourcing groups find other ways to drive value into that spend category through better demand management and joint waste reduction efforts (i.e., lowering processing costs and errors) with their supply partners. Or, in other words, they truly get spend under management.


          Looking forward to this session at Ariba LIVE. Thanks for sharing.