Crafting a Solid Baseline Without Historical Data: The EmpoweringCPO Way
What is Baseline? Baseline preparation is one of the most important phases during any Strategic Sourcing process.
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Welcome to EmpoweringCPO’s Collective Buying Services. We specialize in harnessing the collective purchasing power of multiple organizations to drive significant cost savings and procurement efficiencies.
Collective buying, also known as group purchasing or collective procurement, is a strategic approach where organizations join forces to negotiate better deals with suppliers. By pooling their purchasing volumes, these organizations can access preferential pricing, improved terms, and enhanced supplier relationships.
At EmpoweringCPO, we don’t just transform procurement; we redefine it through the art and science of collective buying. Our expertise lies in orchestrating collective buying strategies that transcend industry standards. We don’t just streamline the process; we revolutionize it, uniting organizations to create a symphony of collective purchasing power.
Our bespoke solutions are meticulously crafted to elevate the overall volume for each alliance partner, strategically increasing their bargaining power. We go beyond traditional procurement methodologies, fostering dynamic partnerships and implementing cutting-edge practices that set the stage for unprecedented savings.
EmpoweringCPO isn’t just a service; it’s a commitment to unlocking untapped value and fueling sustainable growth through the artistry of collective procurement. Join us in reshaping the landscape of procurement excellence, one strategic alliance at a time.
At EmpoweringCPO, we offer a comprehensive suite of services to support collective buying initiatives:
EmpoweringCPO orchestrated a transformative collective buying initiative, uniting a diverse array of manufacturing companies seeking to optimize their Maintenance, Repair, and Operations (MRO) procurement. With a focus on ensuring cost efficiency and operational continuity, the collective effort harnessed the collective purchasing power of these companies to negotiate advantageous terms with MRO suppliers. The outcome was a notable 18% reduction in MRO procurement costs, coupled with improved supply chain resilience. This cross-industry collective underscored the versatility of collective buying strategies, demonstrating their ability to drive cost savings and operational efficiency across disparate manufacturing sectors.
Empower your organization with collective buying excellence. Contact EmpoweringCPO today to explore how our tailored solutions can revolutionize procurement through joint efforts. Together, we redefine collective buying for a stronger, more resilient future.
What is Baseline? Baseline preparation is one of the most important phases during any Strategic Sourcing process.
A cartel is formed when businesses agree to act together for an anti-competitive purpose instead of competing against each other.
Spot Buying is for immediate, Ad-Hoc & one-off purchases. It’s estimated that around 40% of the company’s indirect spending is from spot buying.
Compliance management is very critical as otherwise the procurement organization may run into a scenario where there is a huge gap between realized savings and reported savings. Many procurement functions estimate large savings numbers when contracts are signed. They also invest significant time and effort in negotiating contracts for necessary goods and services, only to have a third or more of their purchasing dollars flow outside those deals. Some of the obvious fall-outs of non-compliance and maverick purchases are:
As compared to the current contract that was finalized after the sourcing process, the tool helps in tracking:
The objective of this tool is to ensure that the orders are placed only with the vendors that were shortlisted after the sourcing process and at the same price that was agreed upon and negotiated during and after the strategic sourcing process.