IT Consultancy Procurement
Context & Objective
The client wanted to achieve cost reduction on consultancy services and create transparency of existing supplier base and open it up for competition.
Approach & Result
PIR executed the project through our standard Supplier Base Optimization (SBO) and Procurement & Tendering process to conduct a detailed review of existing supplier base. In selected categories, PIR identified savings potential and proposed a strategy and action plan to realize the savings potential. Additionally, PIR concluded negotiations with all suppliers resulting in savings of 14-18% on prices for purchase of staffing consultancy services, savings of 6-14% on prices for purchase of IT consultancy services, savings of 20% on prices for purchase of training services, and 90 days payment terms with a majority of suppliers.