BUY WITH CONFIDENCE
DESCRIPTION
The Spend Reduction framework is a detailed guide for conducting an Enterprise Cost Reduction project. The objective of this document is to describe and provide guidance around the approach and practices applied on spend reduction engagements.
• What is Spend Reduction: Spend reduction involves reducing operating expense on purchased goods and services through demand management, strategic sourcing, and procurement-related tax minimization. It also addresses the importance of a well-designed procurement function to achieving and sustaining spend efficiencies.
• How much does it save, how fast, and how many times have we done it: Spend reduction can lead to significant cost savings typically in the range of 10-25%. It usually identifies a mix of short and longer term cost reduction opportunities.
• How comfortable are we with existing content: Developed content has been reviewed and approved by SMEs. Additional content, potentially in a stand alone document, should be developed to outline techniques and practices specific to optimization of employee benefits.
Got a question about the product? Email us at support@flevy.com or ask the author directly by using the "Ask the Author a Question" form. If you cannot view the preview above this document description, go here to view the large preview instead.
Source: Best Practices in Cost Reduction Assessment, Strategic Sourcing PDF: Cost Reduction Primer PDF (PDF) Document, DocumentsFiles
OVERVIEW
ABOUT THE AUTHOR
This document is available as part of the following discounted bundle(s):
Save %!
Cost Reduction Toolkit
This bundle contains 3 total documents. See all the documents to the right.
Cost Reduction Assessment Strategic Sourcing Growth Strategy Consulting Frameworks M&A (Mergers & Acquisitions) Costing Capital Structure Supplier Negotiations Porter's Five Forces Cost of Quality Quality Management & Assurance Valuation Strategy Development Value Chain Analysis PowerPoint Diagrams Compilation Financial Modeling Business Case Development Strategy Deployment & Execution Hoshin Kanri Strategic Planning Operational Excellence Gap Analysis Consulting Training Strategy Frameworks Organizational Design
Receive our FREE presentation on Operational Excellence
This 50-slide presentation provides a high-level introduction to the 4 Building Blocks of Operational Excellence. Achieving OpEx requires the implementation of a Business Execution System that integrates these 4 building blocks. |