By optimizing direct purchasing you can save a lot of money. There is a good chance that you focus on optimizing direct purchasing and that is not surprising. Many companies have this at the top of their agenda, while optimizing indirect purchasing is much further down the list. However, it is wise to optimize both, because this can save a lot of money.
What exactly is meant by indirect purchasing?
By indirect purchasing we mean all purchases that are made in support of direct purchasing. Think of facility goods, such as maintenance and energy. These goods are also called NPR: non product related. All kinds of products are bought from different suppliers and you actually have no overview of what is bought where and how much it all costs. Because not everything is clear, this ensures minimal control and therefore minimal insight. It may be wise to outsource indirect purchasing.
Outsourcing the benefits of indirect purchasing
By outsourcing indirect procurement, up to 21% can be saved, which of course sounds very good. We have listed a number of advantages below:
Reduce the supplier base
By outsourcing indirect purchasing, you enjoy many advantages. You also reduce your supplier base, which is nice. This also saves invoice management time. Instead of sending several invoices to different suppliers, only 1 invoice needs to be sent. Furthermore, it is of course efficient that there is only 1 point of contact and that only 1 invoice has to be sent. This saves time and money, time and money that you can invest in other more important parts of the process. Maybe it is possible to invest the money in optimalizing another fase of the process. The more you optimalize, the more time and money you save.