As companies engage new vendors or decide to outsource, sourcing success materially impacts an increasingly higher percent of the companies’ competitive cost and capabilities advantages.
Engaging senior consultants with experience on the buy and sell (vendor) side of these types of transactions is essential to avoid locking in an average or worse position on both of these dimensions. Vertix can augment the expertise of your internal supply chain organization with decades of expertise in best practice contractual, SLA and pricing terms for sourcing technology products. Our clients realize that sourcing is much more than sending out an RFP and squeezing vendors for improved pricing. Vertix helps its clients enhance profitability and achieve long-term operational improvements through effective sourcing. Our proven methodology brings structure and transparency to the sourcing process. Key activities include:
- Performing a diagnostic to identify spending patterns and sourcing opportunities
- Developing product or service specific requirements at the appropriate level of detail
- Educating internal stakeholders about the Total Cost of Ownership (TCO) tradeoffs between different requirement levels and vendor offerings
- Assessing the dynamics of the marketplace and developing a category-specific sourcing strategy and plan, including an analysis of the trade-offs between consolidating volume under a single vendor vs. opting for best-of-breed for each item and logical options in between
- Structuring effective long term relationships with the right vendors by negotiating agreements that align interests in win-win relationships
- Adopting the best procurement strategy to meet the final requirements in the most cost-effective manner
- Working with your team and the winning vendor to establish effective vendor management and reporting.
Vertix also works with clients to establish or enhance their supply chain management and sourcing organizations. We help clients design their organization around the specific needs of the company. We assist with the implementation of key sourcing processes in order to maximize buying power across the enterprise and to maintain or improve vendor relationships.