Initial Situation
A company with 5 locations orders C-parts decentrally. Each location maintains its own vendor relationships and operates with individual processes that have grown organically over the years. Similar products are frequently ordered at very different prices from different suppliers, creating significant cost variation across the organisation. There are no uniform standards, no central reporting, and no bundling effects in place. The total expenditure on C-parts remains non-transparent for management and finance. Procurement teams cannot reliably identify savings potential, negotiate better conditions, or compare performance across sites. Maverick buying spreads silently while process costs continue to climb. Without consolidated data, strategic decisions about supplier consolidation or volume bundling are nearly impossible. The result is hidden inefficiency that quietly erodes the EBIT margin month after month.
Your Solution with simple system
- User Management & Groups: Location-based groups with uniform permissions, role-based access controls, and standardised rights structures across all sites
- Favourite Lists: Predefined article lists per location, easily duplicable and shareable to ensure consistent and compliant ordering of relevant standard products
- Vendor Management: Central vendor control across all locations with transparent contract data, unified onboarding, and consolidated supplier relationships
- Order Overview: Cross-location reporting with detailed analytics on volumes, prices, suppliers, and ordering patterns over time
Result:
Uniform processes, central transparency, and consistent compliance across the entire organisation. Bundling effects reduce prices by 12% on average through consolidated order volumes and significantly stronger negotiation leverage with strategic suppliers, all while improving overall procurement quality.
Your Benefit
- Time savings: 5 locations × 10h/week = 50h/week = 2,600 hrs/year, freeing buyers from repetitive administrative work and enabling them to focus on strategic procurement tasks and supplier development
- EBIT impact: +€91,000/year (process costs) + €96,000/year (12% bundling discount) = +€202,000/year, with full return on investment typically achieved within the first months after the implementation goes live
- Transparency and control: Real-time visibility into all C-parts spend across every location, standardized approval processes, audit-ready documentation, and the consistent elimination of maverick buying for measurable governance gains and reliable financial planning