In Part 1
of this article, we looked at linking Spend Control actions to strategic enterprise initiatives. In Part 2, we share examples of PROACTIS clients that ARE taking action.
It’s important to know that there ARE people making a difference for their organisation every day across the PROACTIS client community. Here are just a few examples…
FTSE 100 Retail Group: One of the fastest growing retailers in UK, who was opening hundreds of stores in recent years, expanding into Europe, and selling over 13,000 product lines.
Their challenge was to continue the rollout of their regional and international strategy, without losing control of their processes. At the same time, adapt to government and legislative changes.
With PROACTIS and Unit4, they were able to accommodate growth and automate their Finance and AP processes. They now manage a 35% increase in invoice levels with 1 fewer FTE in the accounts team. Expansion into Europe and Germany have been achieved without any impact on the finance operations.
Local Authority: Had undergone many initiatives over the years, including the restructuring of back-office operations, standardising of policies and procedures, and full, end-to-end process automation.
They have over 4,000 suppliers and an annual spend of approximately £130 million.
The Council has now selected the PROACTIS Supplier Network to reshape how it engages with its supply base. This includes offering an accelerated payment facility.
Their efficiency improvements has opened the door to enable them to provide suppliers with the option for early payment and for the council to participate in discounts for a much needed revenue stream.
Deploy New Enterprise Systems
Post-Graduate University: Their challenge was an ageing ERP system, resulting in horrific cost and maintenance issues. This was compromising their ability to deal with rising fees, escalating funding demands and efficiency improvements.
They chose to replace the legacy system and at the same time extend the automation of their processes to include fully integrated, best-in-class Purchase-to-Pay.
The results: significant monetary savings of £100k per year, including reduction in consulting costs. Systems were able to support a major campus consolidation. Greater collaboration amongst teams, Finance practices improved; and workflow is ensuring employees observe more consistent and robust practices.
One of Europe’s largest conservation organisations: They were upgrading their ERP system and recognised the need to change the way they managed their supply base. Their system contained over 24,000 supplier records, and Procurement weren’t aware of half of them. The records gave no visibility of what their suppliers sold (or wanted to sell) and provided little information about risk exposure. They were creating over 350 suppliers every day – largely just to firefight impending invoices.
In a matter of just a few months, the organisation had implemented a single repository and single version of the truth for supplier information; including new supplier on-boarding and vetting processes; and an electronic communications channel to streamline the way they engage with suppliers across every touchpoint. This has set the stage for greater efficiency across the source-to-settle cycle – for both Finance and Procurement.
Business Process Transformation
Large Asphalt Producer in US: Operating in 1,200 locations, across 44 states and employing 18,000 staff.
They have been continuing their Purchase-to-Pay (P2P) transformation effort – they generate POs for 80% of all P2P transactions, 150 actively managed supplier contracts, 9 punch-outs, meeting their targets of processing 85% of invoices (representing 650,000 invoices per annum) through P2P.
Next stop: Increased focus on SOX compliance, and adopt Invoice Capture solutions to move beyond the low-hanging fruit.
A supply chain cooperative: With procurement responsibility for a very popular franchise chain of over 3,000 stores in the US. They have made eSourcing a strategic part of their procurement strategy. With the help of PROACTIS, savings are at $9 million and counting.
What are YOU Looking to Achieve?
Just pick one of these. You know your organisation. Connect the dots.
We stand ready to help you in your journey towards world-class Spend Control and eProcurement – contact us today.