SOURCE: Spend Matters

Spend Matters

March 24, 2010 13:13 ET

A Top Corporate Cost Reduction Opportunity: Services Procurement Beyond Contingent Labor

Spend Matters Study Finds Companies Can Save 10-40% in Services Categories Outside of Contingent Labor

CHICAGO, IL--(Marketwire - March 24, 2010) -  Spend Matters, the leading procurement and supply chain blog and research hub, today announced the publication of a new report titled, "Achieving and Implementing Savings Across Previously Unmanaged Categories."

Many companies today are working to consolidate their contingent spending, finding that the time, investment, and internal political capital expenditure has been more than worth the effort. Still, according to Spend Matters research, the opportunity presented by non-contingent services procurement looms large in the vast majority of Global 2000 procurement organizations. Many companies have not invested sufficiently in building out their procurement skills and infrastructure to create a sustainable approach to savings and supplier management in these areas.

"Many procurement organizations don't know the savings opportunities they're missing out on delivering by not taking a larger role in the sourcing and management of complicated services categories," said Jason Busch, Principal Analyst at Spend Matters. "Even middle market companies are leaving millions of dollars on the table every year by not involving procurement more aggressively in the services their companies buy."

This white paper provides tactical strategies and approaches to implementing cost savings programs in categories such as professional services, management consulting, sourcing, IT, legal, print, tax, audit and marketing. It also suggests various services-procurement technology platforms that extend beyond traditional indirect and contingent categories, allowing for greater flexibility and compliance while maximizing potential savings opportunities.

This latest Spend Matters report is part of a Spend Matters Compass research series dedicated to examining a range of services procurement topics. Other topics in this free series include:

  • Selecting Services Procurement Technology - Options, Approaches, and Philosophy
  • Making Procurement a Services Spend Ally: Tips and Tactics for Winning over Business Stakeholders and Spend Owners

Readers can download this free report and other complimentary studies directly from the Spend Matters website: http://www.spendmatters.com/library.

About Spend Matters

Spend Matters is a blog and research site dedicated to examining a range of procurement and supply management issues. Founded in 2004, Spend Matters is the longest running and highest trafficked research and social media site in the sourcing and supply chain area.

Contact Information

  • Media Contact: William Busch: 215-508-7414