Spend Analysis – Making Quantum Leaps: Exploring the Realm of Possibility and Savings with Three New Strategies
Over time – sometimes over very short periods – technology markets trend toward a combination of consolidation, sameness and then, eventual and sometimes radical evolution. Consider how Cisco went from purchasing the hot new low-cost consumer camcorder company, Flip, to closing down the business unit that acquired it, all within a span of less than five years. Yet enterprise software and BI is often far more staid – with life spans measured in human rather than dog years (or even insect years). However, a radical evolution is afoot in spend analysis at the moment. It’s not just the advent of next generation platforms, nor is it about technology for technology’s sake; rather, it’s a new understanding of what the right set of tools can enable business users and analysts to accomplish.
Most important, this shift relates to users discovering that they can redefine the role and reach of spend analysis itself. This Spend Matters Perspective explores three specific areas in which we see companies deploying a next generation of spend analysis approaches to help pull a range of additional savings levers that they previously didn’t have at their disposal. These include the discovery and incorporation of new datasets into spend analysis, new types of internal and external communication and compliance strategies based on greater data visibility and leveraging spend data to fundamentally change contracting approaches and supplier behavior. The paper provides concrete examples and case guidance in each of these three areas.
The Perspective ends by suggesting nine actionable items that companies can put to use to take advantage of the latest that spend analysis approaches can offer. Whether you’re new to spend analysis or are looking to hit the hyperdrive switch to vastly accelerate the benefits of existing programs, this analysis will prove invaluable.