It happens all of the time. Clients that audit their own billing and manage their own contracts spend wasted hours trying to sort out the fees and promo plans service providers offer. In the end (months later) they realize how much time and energy they spent trying to sort out the very complicated terms, renewals and plans that should have been crystal clear from the beginning. No customer should have to feel they are “in charge” or have to be “on the watch” for changes in their contracts and agreements especially those “1 year promos”. Shouldn’t the service provider INFORM their customer more clearly of any changes going into effect, clearly state them and offer cost saving OPTIONS? Well that is NEVER going to happen!
Your company starts to grow, and you need more technology to keep up with additional staff, customers and to help improve process. You are aware of the efficiencies and cost savings made possible by new technologies and are upgrading their infrastructures as a result.
But are you aware of How Purchasing more Technology can lead to Cost Creep?
Typical spend data is not useful to provide business insight and drive informed decision making. In many large global operations, spend data originates from different people, in different organizations, in different locations, even using different vernacular or languages, and all with different requirements. Further, it is typically coded from a financial perspective. While General Ledger (GL) and cost center are helpful for the finance organization, they do not provide the views needed to drive procurement decisions.
An effective vendor risk management program will make your business safer and more secure. You’ll be able to identify and monitor current and future vendor risks while improving transparency in controls and related activities.