6 Steps to Data Driven Decision Making in Procurement
(slide 1)
Insights & Benefits
Improving the decision-making process.
Eliminate Guesswork.
Speeding up the decision-making process.
Better alignment of resources with strategies.
Realizing cost efficiencies.
Availability of data on a timely basis
Gain Insight into Process and Supply Chain
Business Outcome
Customer Sat Improvement
ROI Improvement
Realizing Efficiencies
Predict Potential Limits to Growth
Simulate New Business Models
Rapid, fact-based culture to make decisions and reduce guesswork, strategic product and revenue decisions
Identification and optimization of the most profitable activities and elimination of money-losing business activities
Identification and optimization of the true drivers of financial performance and cost efficiencies
Improved response to customer needs and trends
Improved analysis to predict and profile ROI and its impacts for proposed business initiatives.
Why Spend Analytics Slide 4
Identify highest Value spend Suppliers & Categories
Improve Strategic Sourcing
Reduce Tail Spend
Vendor Base Compliance
Increase Contract Spend Value
Eliminate Maverick Spend
Improve Category Roadmap
Company Wide Consolidated Spend Visibility
Standard Taxonomy
Uniform Currency reports
Vendor base reduction
Payment Term Analysis
No of Suppliers per Category
Geographical information
Normalised Supplier Grouping & Supplier Grouping
Keyword search
Invoice level search features
Review number of Orders Placed
Benefits of Spend Analytics Slide 5
1. Identify Leverage with Existing Suppliers
2. Supplier Rationalization
3. Preferred Supplier Spend
4. Spend by Buying Channel
5. Purchase Price Variance
6. Sourcing Compliance
Reduce spend in many categories between 5% to 15%
Save 5% - 15% of Spend - 6 Steps to Data Driven Procurement
1. Improving the decision-making process.
Eliminate Guesswork.
Speeding up the decision-making process.
Better alignment of resources with strategies.
Realizing cost efficiencies.
Availability of data on a timely basis
Gain Insight into Process and Supply Chain
Insights & Benefits Business Outcome
Customer Sat Improvement
ROI Improvement
Realizing Efficiencies
Predict Potential Limits to Growth
Simulate New Business Models
✓ Rapid, fact-based culture to make decisions and reduce guesswork, strategic product and revenue decisions
✓ Identification and optimization of the most profitable activities and elimination of money-losing business activities
✓ Identification and optimization of the true drivers of financial performance and cost efficiencies
✓ Improved response to customer needs and trends
✓ Improved analysis to predict and profile ROI and its impacts for proposed business initiatives
6 Data Driven Steps to reducing Procurement costs by 5% to 15%
https://myseaforth.com/
2. Problem
Recognition
Review
Previous
Findings
Modelling Data Collection Data Analysis
Results
Presentation &
Actions
Preparation Immersion Incubation Insight
Step 1 Step 2 Step 3 Step 4 Step 5 Step 6
Incubate
Insight
▪ Business Case
▪ Justification
▪ Business Benefit
▪ Understanding
▪ Detailed Analysis
▪ Determine Business Lever(s)
▪ Focus
▪ Possible Solutions
▪ Idea Generation
▪ Scenarios
▪ Action Outcomes
▪ Business Value
Data Driven – 6 Steps to Data Driven Decision Making
https://myseaforth.com/
7. Edward is an Innovative Supply Chain Director
with proven, purchasing, operations and
technical expertise.
Expert at using data to increase company
earnings and growth through highly strategic
sourcing and related supply chain initiatives,
underpinned by Advanced Analytics.
Powerful combination of MBA, Engineering
degrees applied in fast-paced commodity
environment along with extensive Global
sourcing experience.
Excellent relationship-builder with a positive
attitude, strong work ethic, and ability to make
things happen.
Motivational, Leadership, IT, numerical and
analytical skills, with the ability to extract and
process diverse data into a management
information system.
About Edward McGeachie
https://myseaforth.com/
Procurement Analytics and Business Intelligence company
We provide Spend Analytics and Business Intelligence Tools.
Products that deliver insight, improved decision making and cost savings.
Technology & knowledge, beyond supplier classification.
Supporting Strategic and Tail Spend sourcing.
Creating the most value from your procurement data.
Less time, improved opportunity analysis, quick wins and savings plans.
Call 00 44 (0) 141 471 9747
Or visit us on @
Who Are Seaforth Analytical Services ?
https://www.linkedin.com/in/eddie-mcgeachie-879b341/