How much is your time worth as a procurement professional?

October 12th, 2018

It’s probably at least $40 an hour, likely as much as $60 an hour, and could be as high as $100 or more per hour

Today’s blog is by Alex Borbely, Director of Sales at SafeSourcing

How much is your time worth as a procurement professional? It’s probably at least $40 an hour, likely as much as $60 an hour, and could be as high as $100 or more per hour. Significant savings are rarely achieved by picking at minuscule price variations. Procurement leadership will agree that the practice of spending $100 to save $50 needs to stop so you can start spending your time on implementing strategic changes and improvements that will drive larger savings, such as conducting a spend analysis project or automating or implementing a full service e-procurement strategy, where the work is handled outside of your expensive procurement team and only those individuals become involved for approvals. A full service e-procurement partner consistently provides negotiations of better terms and pricing with suppliers. SafeSourcing consistently provides our clients with 10X ROI. With SafeSourcing, it is not uncommon to have on average of six or more suppliers/vendors participate in a sourcing event. The leg work is done by SafeSourcing and the results are superior to in-house procurement results. As soon as you stop wasting time to find minuscule savings and start to utilize a full-service provider to do the heavy procurement lifting, you’ve already cut costs. Our clients will agree that, additionally, every hour of your time you are able to put towards higher value activities is an investment of the company’s budget that will produce bigger results and a positive return.

The use of the right tools, specifically the right full-service procurement service that allows you to readily have spend analysis reports, can help you identify which suppliers, categories, and commodities are receiving the majority of your spend dollars. These are the areas where investing time to achieve pricing reductions will be most lucrative. Additionally, the right full service provider for e-procurement will give you the ability to drive user spending to preferred suppliers and contracts, which results in longer-term savings and value. Finally, utilizing SafeSourcing’s 10-year plus catalogue of strong suppliers will allow you to not only compile supplier data, but also score and rate their performance as your vendor. This will support your efforts to ensure you have the optimum supplier base for your business. SafeSourcing Inc. is a pivotal part of the full service procurement industry. We provide innovative e-procurement tools that can increase efficiency and improve profitability for our customers, as well as provide superior value for all stakeholders. In addition to providing information, tools, and services, SafeSourcing proactively supports consumer safety and environmental standards throughout the global supply chain management process.

Have a call with our sales team at SafeSourcing to learn more about how we can fully manage your services, goods, and projects. We can handle your sourcing needs. We enjoy bringing this blog to you and hope you find value in it. For more information on how we can help you with your procurement needs or on our Risk Free Pilot program, please contact a SafeSourcing Customer Service representative.

We have an entire team ready to assist you today. No savings, then no charge!

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