Spend Analytics Delivers US$ 12 Million Procurement Savings for Vaccine Manufacturer

Sep 23, 2016

Business Challenge

Improving cost savings in the indirect spend category. A US-based vaccine production company wanted a comprehensive global spend assessment of their indirect procurement spend.

Situation: Expensive centralized global procurement structure

The client’s existing centralized indirect procurement structure was proving to be expensive. The client was under pressure to gain immediate savings while realigning the supply chain organization structure for indirect categories. For this, it needed to develop a comprehensive spend assessment of its indirect procurement spend.

Contact an analytics expert to gain detailed insights into the outcome of this spend analytics engagement.


Category specific spend analysis of all indirect procurement expense

We integrated spend data from across the enterprise value chain, including accounts payable systems, card transaction systems, purchase orders, and e-procurement systems. We then conducted comprehensive category wise spend analysis by commodities, suppliers, supplier locations, buying locations, business units, and cost centers, in order to create visibility into spending patterns for all indirect spend.

To learn more about how our spend analytics solutions can help you tackle supply chain risks and drive continuous innovation and improvement, request for more information from our experts.


Reduced overall procurement spend and improved cost savings.

The vaccine production company received detailed sourcing strategies, which is incorporated into its global procurement structure and supply chain initiatives. Based on insights on category-based cost-saving opportunities, the client was able to realize US$ 12 million in annual cost savings for indirect spend.

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