Are you addressing the challenges?
Do you have visibility to your total spend across business units and geographies? Are your suppliers complying with both your PO and contract terms?
The changes brought by globalization and technology advances have combined to create a dynamic and often volatile business environment. While this environment affords you unprecedented opportunities for growth, it also poses many challenges to Procurement. Your Procurement organization may only operate regionally; why not change your perspective and think globally.
HP Procurement services encompass all aspects of the source-to-pay process, including spend analytics, strategic sourcing, category management, procurement operations, and supplier invoice processing. In addition, we offer support for Direct Procurement through our Buy-Sell solution.
Differing organizational agendas, non-integrated systems and disparate processes make it difficult to have the necessary visibility and control over your overall procurement costs. HP's Procurement Services can help you gain visibility to your global spend, automate your processes and help ensure supplier contracts are in compliance with contract specifications. Our experts will analyze your current spending and look for ways to cut expenditures and improve processes.
Using a comprehensive process, we target and rationalize your organization's spend. Initially, we gather the spend data from across various disparate data sources. Our team then uses its expertise and spend analysis tools to normalize, aggregate and classify your spend data on a category basis. Plus, we provide on-going spend transparency and effective governance through real-time dashboards and key performance metrics. Our approach is based on your requirements, not a prescribed standard solution.
We believe there are five key tenets to successfully outsourcing procurement:
- Sourcing needs to focus on realized, not just identified, savings
- A strong compliance program is necessary to achieve savings targets
- Technology needs to drive productivity and enable best-in-class processes
- Meaningful measures of success, such as SLAs and KPIs, need to be established and actively monitored
- A strong, experienced account management and governance team needs to facilitate communication and manage escalations
Applying our category management expertise to these tenets, we create and deliver a savings roadmap that maximizes value through our integrated source-to-pay model. This model aligns savings goals to company objectives, increases compliance and demand management, reduces "after-the-fact" based payments, and aggregates spend to increase leverage and source-to-pay value.
HP's Buy-Sell solution offers a proven, cost-effective process innovation in direct material procurement outsourcing for electronics, automotive and aerospace manufacturing companies with multi-tier supply chains. The solution seamlessly and transparently manages transactions between your firm, contract manufacturers and sub-tier suppliers. This enhances control over the supply of lower-level components and drives purchasing efficiencies.
Our service is unique and the many years of experience internally utilizing the process makes this a proven solution. For firms in the manufacturing sector that utilize contract manufacturers and are facing increasing cost pressures, our solution will help regain control over the supply chain and significantly improve purchasing efficiency.