Optimizing Your Sourcing and Procurement: Five Simple Rules
According to Gartner, North American companies spent $1.4 billion on sourcing and procurement applications in 2013. For their investment, companies are seeking two fundamental benefits:
- Lowering costs for the goods and services they buy
- Making their employees more productive
But are companies really getting their money’s worth? To answer this question, Topline Strategy Group conducted a study that surveyed 241 sourcing and procurement professionals at 201 unique U.S. companies with $500 million or more in annual revenue. These participants rated 426 individual deployments of sourcing and procurement systems across five application areas-Spend Analytics, Supplier Information Management, eSourcing, Contract Lifecycle Management, and eProcurement. Topline Strategy Group also conducted follow-up interviews with a subset of survey respondents to learn more about their experiences.
Key Findings: While some companies are getting their money’s worth, a large number are only somewhat getting their money’s worth, and far too many are not getting anything for their investment.