| • Procedures and expectations around performance, lead times and obligations are defined in SLAs following negotiations between buyers and suppliers
• Therefore, when a disagreement arises, SLAs can be used as a written reference to resolve it |
| • Data collected for KPIs can be analyzed to determine if performance, lead times and outcomes are as per satisfaction
• This also aids in understanding what should be prioritized or require course correction to ensure pre-defined obligations are met |
| • While SLAs record the delivery lead times agreed upon by suppliers and clients, supplier KPI ensure that these deadlines are adhered to
• These tools also help businesses to manage their operations with high efficiency, avoid disruptions, and fulfill customer TAT expectations |
| • Real-time data collected during Key performance indicators (KPIs) analysis can be used to generate feedback on the latest trend and aspects such as cost savings, performance improvement, innovation etc.,
• Such data can help companies to stay competitive by encouraging innovation to improve their offerings |
Our team of over 550 analysts can identify the most important SLAs and KPIs aligned with your industry and provide tailored solutions based on a deep understanding of your requirements, pain points, and objectives. Our framework will help you to measure and track supplier performance, improve operational efficiency, mitigate risks, and achieve performance goals
Using our SLAs and KPIs initiatives, you can quantify the potential return on investment (RoI). KPI indicators help to understand if the initiatives are on track, and analyzing this data is key to identifying performance and efficiency gains apart from how they translate into cost savings
Historical data collected from the monitoring of KPIs and ensuring adherence to SLAs can be used to evaluate performance of suppliers and their efficiency. The data can also be used to resolve any existing issues and strengthen supplier relations
Using our SLAs and KPIs related to cost and price variance, you can manage and optimize your procurement expenses. This data can also be used to monitor and control costs as well as to conduct informed supplier negotiations. The insights generated by us can also be used to identify cost savings
Challenge: The tire manufacturer faced high costs across its supply chain, necessitating an evaluation of supply chain capabilities and a comparison of performance against competitors.
Solution: We implemented a supply chain analysis, utilizing primary and secondary research, to identify major spend areas and optimize inventory management through demand forecasting, and a Just-in-Time inventory system.
Result: The strategies led to significant cost reductions, enhanced profitability, and improved operational efficiencies, positioning the manufacturer competitively in the evolving tire market.
Read more Know about SpendEdge ProcurementSetting right procurement KPIs and ensuring contract compliance is achieved is essential to the success of any business. Talk to our experts to figure out how to ensure all parameters are met.
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Gain insights related to your key spend categories, ranging from important updates, outlook, and engagement models, to in-depth supply-chain risk analysis.
Improve supplier selection decision making and supplier relationship management through our services covering supplier identification, supplier updates and alerts, and risk and sustainability analysis.
Improve strategic decision making through our services related to negotiation advisory, best practices, risk mitigations, supplier KPIs and SLAs, and cost optimization mechanisms.
Keep a close look at price movements and forecasts for key commodities and the impact of different cost drivers to formulate effective cost reduction strategies.