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Reduce Rogue Spending
You have negotiated supplier contracts, but a large percentage of spend remains off-contract. To what extent do your current solutions enforce compliance with contract terms and conditions?
Less than half of the typical Global 2000 spend is captured under preferred supplier contracts, even when procurement is governed by the most strategic sourcing efforts. One in every six or seven transactions is completed off-contract, causing companies to forego more than 20 percent of the savings they expected from their investment.
Why do buyers choose the wrong suppliers even after contracts are in place? Lack of information about preferred relationships, incomplete and inaccurate commerce data, unavailable catalogs, and a general lack of visibility reinforce bad habits. When faced with a difficult or cumbersome process, buyers take matters into their own hands. Often times, the quickest path is noncompliance.
How does SAQQARA impact contracts?
- Ensures accurate contract data at run-time - Delivers accurate, up-to-date contract data (pricing, etc.) to buyers/requisitioners at the appropriate point in time
- Prevents off-contract purchases - Displays only suppliers and products that have current, valid contract terms
- Supports changes to contract terms - Workflow solution for changes (e.g. price) between buyers/suppliers for approval
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