Immediate cost-savings opportunities are provided by us when good, reliable, benchmark data is available to measure. In a silo environment where storerooms are decentralized, our teams evaluate a customer’s current inventory position and cleanse databases to obtain accurate product information, such as the unit of measure and manufacturer part number.
Subsequently, by tracking expenditures, customers see reports with a schematic around purchases; and they are thrilled. From this vantage point, costs are reduced through unit price, project-based savings, commodity-based programs and economies of scale.
Cost reductions managed by our teams:
- Minimizing plant downtime with our proactive expediting system and above/beyond service for emergency purchases
- Reducing unit costs with customer’s approval of equivalent quality product alternatives
- Standardizing and consolidating inventory
- Evaluating min./max. reorder points based upon demand and economic order quantities
- Managing the quoting process for purchase orders
- Managing commodity spend strategically with detailed reports and data management
- Avoiding inflation by negotiating contract pricing even through manufacturer’s price increases
- Reducing purchase order placements, receiving/shipping activities, freight costs, and vendor payments
- Lowering consumption with multiple-site inventory visibility
- Handling returns and reconciliation of invoices