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Our approach to strategic sourcing, starting with rapid spend analytics and closing with extensive performance reporting to sustain results, will quickly boost profitability and increase reliability from critical supply markets for both direct and indirect spend. Specification simplification, make-versus-buy, global sourcing and direct-to-manufacturer are examples of the proven methods deployed for our clients to maximize benefits and forge partnerships with existing and new suppliers. Ongoing supplier management provides the foundation to continually evaluate performance of suppliers and extract value from supply base.
The first step in strategic sourcing and spend reduction is the identification of the categories that have the greatest potential to generate benefits. The level of effort to accomplish this essential task should not be underestimated. Often times data from legacy systems, suppliers and other sources will need to be cleansed, classified and consolidated to properly segment and prioritize disparate direct and indirect spending areas. AOPartners’ SPOT™ Analytics will rapidly set up your organization with the right information to identify, capture and sustain cost reductions and improved service. Interaction with internal subject matter experts, current suppliers, information reporting agencies, etc. is typically required during this foundational stage of strategic sourcing.
Our proven methods quickly mobilize client teams to develop and execute new sourcing strategies that produce lasting operational and financial results. We help purchasing, engineering, logistics, operations and other key stakeholders collaborate to identify and implement strategies that build a stronger, more effective inbound supply chain and reduce total cost of ownership. Our consultants help shape and carry out RPI/RFP development, negotiations planning and execution, contracting, and other critical milestones.
Our consultants are experienced in the building capabilities to generate on-going value and results. Policy development, process design, training, etc. will be integrated into our overall solution to produce short-term and enduring results. Procure-to-Pay process excellence, organizational design and real-time scorecards often determine if significant change can be managed and embedded across your organization.
