Your Tactical Becomes Our Strategic.
We sit on the same side of the table and help you manage one of the last places where you might be leaving money on the table. The intersection where high volume meets low-value, non-strategic purchasing. The same place where your resources likely spend too much time. Welcome to the location we call Tail Spend Management.
Our tail spend management team was born out of IBM and Lou Gerstner’s decision to outsource all non-strategic processes. As much as procure-to-pay vendors would like you to believe, including present company, many purchases are too infrequent to be included in a catalog, too small to be handled by purchasing and/or too voluminous to manage efficiently. The end result – too many one-time supplier purchases that bloat the vendor master, limited, if any, cost comparisons and potential unnecessary risk.
Don’t let the tail take control.
SAVE MONEY IN DISCREET PLACES
What is typically a one-time buy for you is a strategic, leveraged buy for us. Oftentimes, we can buy directly through different channels. For example, our tail spend management team saved 49% on a mercury lamp for a photolithography stepper by purchasing the item directly from the lamp manufacturer, instead of the company that built the stepper.
FOCUS ON THE STRATEGIC
You have limited resources. Dump the tactical stuff on us. This will allow your procurement staff to focus on high-value projects but still deliver cost savings through our leveraged purchasing model. Our expert teams will manage these purchases on your behalf, thereby reducing your supplier onboarding and maintenance costs.
REDUCE THE NUMBER OF VENDORS
Tail spend purchases are relatively small in value, can require a great number of suppliers, and don’t typically provide a significant differentiator for your company. We’ll take the place of possibly hundreds of small suppliers – and you’ll reap the benefits of lower procurement costs, faster response times and better supplier pricing.
WE’LL MANAGE THE MINUTIAE
First, we do it on our books so you don’t have to. That means our tail spend management team handles the tax filings and A/P processing. Second, we cover the compliance bases – W9s, insurance certifications, diversity spending, denied parties. Finally, we ensure that each purchase is consistent with your Terms & Conditions.