After profiling your spend we will see that a portion of your transactional spend is distributed over a degree of suppliers. Do you need 4 suppliers for your IT equipment, or 6 suppliers for your printer stationary? As covered in Aggregating Spend and Break points, diluting your spend could result in a loss of potential savings.

Sometimes due to risk or other influences it is necessary to use more then one supplier, but frameworks can be established with more than one supplier for the same product or service. If you can channel your spend into a framework agreement then you can negotiate with a smaller amount of suppliers and for example set agreed overhead and profit, delivery conditions and performance measures. Making control and management possible. Reducing suppliers will also reduce your own internal administration costs.

Pulling together common spend from around you company or group of companies will enable large efficiencies to be realised.

Meercat Associates Limited will help you identify the services that you share across your departments, company, group of companies and beyond.

We can help you establish and negotiate the very best suppliers (supplier selection) and value to meet your needs.