TIME TO
RIDE THE
DRAGON...
EM
POWERING
PROCURE
MENT
Major turmoils, recovery, resilience! The Covid-19 pandemic drought made us vulnerable, cut off chip supplies, logistic mishaps and geopolitical disasters fanned the flames into unprecedented challenges with no turning point in sight.
Let us show you how make full use of your procurement organization.
Ride the dragon!
END-TO-END TRANSPARENCY
With rising costs for raw materials, energy or logistics, organization need to challenge suppliers and push increased cost to customers. End-to-end transparency is king – from a fully-fledged spend cube to facilitate cost impact analysis on products and customer groups.
Only part of the price spiral has hit the bottom-line yet – it is time to act now to safeguard EBIT!
IMPROVEMENT
IMPACT
~8-12% price increase avoidance
5-7% net price reduction
Volatility management with price variance clauses
ANALYTIC-BASED TRADE-OFF MANAGEMENT
What is the optimal minimum order volume given a price discount offered by the supplier? What are the right inventory levels given payables?
Managing EBIT and cash trade-offs with the right simulation tool to pave the way for scenario-based negotiations with suppliers. Advanced analytics build the foundation for structured and objective negotiations.
Time to square the circle – secure margin, supply security and flexibility!
IMPROVEMENT
IMPACT
Cash Conversion Cycle reduction by 15-25 days:
10-15 days Account Receivables,
5-10 days of inventory
5-8% EBIT secured
STRONG RE-NEGOTIATIONS
Now is not the time for amateurs.. We need negotiation experts with real crisis management experience working shoulder-to-shoulder with procurement. Fact-driven, 200% prepared, determined. Often suppliers are dictating prices but there is a way forward: nurturing strong supplier relationships to effectively manage costs and secure supply.
It is time to make bold calls. It is time to ride the dragon!