The Spend Management Stimulus Package

In the face of todays down economy, how will you continue to increase savings, shore up supply, and improve performance?

Leading companies and analysts view spend management as key to holding down costs and improving performance in the face of todays down economy. Follow these three steps to create a stimulus package for your business.

STEP 1: GET THE STRATEGIES
Listen as Tim Minahan, CMO of Ariba, identifies the top five strategies leading companies are using to drive continuous cost reductions and performance improvements in the face of a tightening economy.
Click Here to Listen


STEP 2: GET THE RESOURCES
Need more information on the top five spend management strategies for a down economy? Get resources now.


Strategy #1: Target New Traditional Spend Categories
With high volatility and inflation running rampant in core commodities, spend management leaders are turning their spend management sights on new categories – including many of the “sacred cows” – such as legal and advertising – which were once outside the realm of standardized sourcing and compliance procedures.

Resources:

• White Paper: When the Going Gets Tough, the Tough Look to Indirect Spend
• White Paper: Spend Management for the Economy: The Challenge of Business Services
• White Paper: The New Face of Travel Procurement: End-to-End Solutions Provide a More Effective Way to Manage Costs and Drive Compliance
• White Paper: 7 Habits of Highly Effective Sourcing Organizations

Click Here to try Ariba's Sourcing Savings Calculator, which cuts through the confusion and helps you discover the potential savings for your company.


Strategy #2: Squelch the Mavericks
Savvy leaders are using the current economic crisis to secure C-level support for policies and procedures to drive internal compliance with existing supply agreements. They are also using the opportunity to secure budget to invest in cost containment solutions to ensure that vendor agreements are negotiated and finalized according to company policy and then implemented and complied with quickly.

Resources:

• Industry Research: Aberdeen: E-Procurement Beyond the Hype: Companies Increase Spend under Management, Reduce Costs with E-Procurement Systems
• White Paper: Improving User Adoption and Contract Compliance with Your Existing Procurement Platform
• White Paper: Spend Visibility: Beyond the Data to Bottom-Line Savings

Strategy #3: Manage Your Cash
As the saying goes, cash is king. And in today’s economy this is true both for you and your suppliers. If your cash strategy is to delay or extend payment cycles for suppliers, you’re putting your company at risk. One of the quickest ways to get cash under control is to automate the invoicing and payment process. Companies that have automated their invoicing and payment processes report that suppliers typically grant concessions of 0.5 percent up to 4 percent for faster payment.


Resources:

• Webinar Replay: Unleashing Cash from AP: Three Simple Finance Strategies for the Downturn
• Webinar Replay: Generate Cash for Your Company through Working Capital Optimization
• White Paper: Strategies for High-Yield Working Capital in Today's Economic Environment
• White Paper: Dynamic Payables Discounting and Supply Chain Finance

Strategy #4: Work with Your Suppliers
In a tumultuous economy, it is more important than ever for buyers and suppliers to work more closely together, share the economic burden of the times, and embrace innovative ways to ensure their mutual health.


Resources:

• White Paper: Global Supply Management Strategies for Success in the New World Economy
• Webinar Replay: Supply Chain Management Review: Successfully Embarking on the Supplier Performance Management (SPM) Journey
• Supply Excellence: Credit Crunch: Is it a Risk to your Supply Chain?
• Ariba Partner: Ariba Partner: Accelerated Cash for Your Suppliers

Strategy #5: Don’t Be Afraid to Get Help
Faced with pressures to deliver more savings faster than ever before, many companies are now looking outside for spend management process support, spend category expertise, or just additional arms and legs to help execute their savings plans. To meet budget constraints, many enterprises are revisiting variable or performance-based agreements that allow them to pay for all or a portion of these outside services based upon savings achieved.


STEP 3: GET STARTED NOW
Getting started has never been easier. Why wait? Click the button below to submit your contact information and we’ll help you get started with leveraging these strategies now so you can begin to realize savings immediately. Now is the time to act.