While spend analysis and spend management are the greatest opportunities a company has to dramatically impact their bottom line, the execution has historically been difficult, time-consuming, and frustrating.
The difficulty lies in delivering measurable results on an ongoing basis across the organization, with the ability to show savings hitting the bottom line. Spend data is often incomplete, not current, maintained using different classifications, or too high-level to make the best decisions quickly and effectively. The data — specifically the complete set of underlying data — ends up being the bottleneck.
The majority of companies are performing basic spend analysis, which involves a “snapshot” of their spend data. This is a narrowly focused approach when it comes to managing spend; however, continuous refreshes across an entire organization for current and historical spend requires time and resources that are not always available.
And the frustrating part is “you don’t know what you don’t know.” With increased pressure to cut costs and generate more savings, true visibility into organizations’ spend and supplier information is required to achieve your savings goal. Until you lock down your savings, you will not experience the value and benefit of advanced spend data management.
Learn more about the challenges companies are experiencing.