continyous procurement improvement

You can achieve aggressive direct spend goals without needing to pull a rabbit out of a hat.

APEX understands the highly complex manufacturing environment in the automotive and aerospace industries.  23 world class transportation companies have partnered with APEX to:

• gain leverage to negotiate future savings
• grow vendor relationships, and
• realize current savings to the fullest extent possible.

A self-funded historical review of your supplier contracts and payments is step one of moving toward a continous monitoring and even preventive methodology with suppliers. 

Would findings like these prior to payment or during new contract negotiations lead to future savings on future contracts?

Unit of Measure Changes - $1,289,758		Currency Changes - $531,170
Missed Discounts - $524,891		Outliers -Unique Fabricating -$135,460
Parts Sourced To Same Supplier at Different Prices - $317,754		Prototype versus Production Pricing - $349,904
Retro Adjustments -$102,598		Amortized Fixed Costs -$61,040

(Actual Found Inconsistencies)

 

Bottom line: When dealing with savings leakage, it is important to identify the overpayments as close to the transaction as possible – to ensure the error and subsequent adjustment is relevant to both your supplier and to your buyers.  Contract and pricing compliance is evolving to continuous monitoring and a prevention strategy. 

Next Step:

Join APEX  Analytix for our free E-pricing and Compliance webinar to discover how you can begin to approach  contract and pricing compliance in a prevention methodology to gain greater buy-in from your organization and suppliers.

In this free webinar, you’ll learn:

• Industry data points associated with Contract & Pricing Compliance efforts
• The components of a near real-time monitoring environment
• The benefits associated with this shift and solution

(Click here to attend or recieve the recording of the E-Pricing and Contract Compliance Webinar.)