BPO Future Forward: 5 Ways to Tackle Tail Spend
Post on 30-Jun-2015
DESCRIPTIONDespite being behind the limelight, tail spend or low-value spend remains a neglected area of overall spend management strategy in many enterprises. With increasing pressures on cost reduction and sustained savings, it is crucial that enterprises take notice of their tail spend. Here are five ways to take charge of tail spend.
- 1. THE SOURCING AND PROCUREMENT (S&P) SERIES@Infosys_bpo #Procurement5 ways to tackletail spend
2. THE SOURCING AND PROCUREMENT (S&P) SERIES5 ways to tackle tail spendTail spend is often considered a paradox even though itaccounts for only 20 percent of total spend, it still covers 80percent of suppliers. By tackling tail spend, you candramatically increase savings across the enterprise. Here are@Infosys_bpo #Procurement5 quick ways to do so. 3. 1THE SOURCING AND PROCUREMENT (S&P) SERIES5 ways to tackle tail spendDene and evaluatescope, and thenprovide a businesscase comprisingsavings, investments,@Infosys_bpo #Procurementand operatingmodels to outsourcetail spendmanagement2Classifying andimproving dataquality leads togreater spendvisibility, whichwhen aided byanalyticalcapabilities helps inmaking informedbusiness decisionsPROJECT: TAIL SPENDASSESSMENT DATA CLEANSING 4. 3THE SOURCING AND PROCUREMENT (SP) SERIES5 ways to tackle tail spendRoot cause analysis(RCA), process failuremodes and eectsanalysis (PFMEA),and value streammapping combinedwith procure-to-pay@Infosys_bpo #Procurementtools help inidentifyingpreventive controls,which ensure anerror-proof process4A good tail spendmanagementprocess shouldremove non-valueadded steps, deployrelevantprocurementapplications, and aidin prioritizingsourcing plans andidentifying sourcingstrategiesSPENDPROCESSANALYTICSPROCESSHARMONIZATION 5. THE SOURCING AND PROCUREMENT (SP) SERIES@Infosys_bpo #Procurement5 ways to tackle tail spend5Map allsub-categories tosupply exposure andbusiness riskparameters, denedacross fourquadrants strategicsecurity, strategiccritical, tacticalacquisition, andtactical protSOURCING STRATEGYFRAMEWORK 6. THE SOURCING AND PROCUREMENT (SP) SERIES@Infosys_bpo #Procurement5 ways to tackle tail spendFIND OUT MOREBlog postREADWhite PaperREADInfographicVIEWNetwork with industry leaders at InfosysBPO.com/communityInfosysBPO.com/BPOFutureForward