{"id":23859,"date":"2022-05-30T15:09:33","date_gmt":"2022-05-30T13:09:33","guid":{"rendered":"https:\/\/www.iungo.com\/?page_id=23859"},"modified":"2025-01-10T15:21:34","modified_gmt":"2025-01-10T14:21:34","slug":"reduce-costs-in-procurement","status":"publish","type":"page","link":"https:\/\/www.iungo.com\/en\/reduce-costs-in-procurement\/","title":{"rendered":"Reduce costs in procurement"},"content":{"rendered":"<p>[vc_section full_width=&#8221;stretch_row&#8221; content_placement=&#8221;middle&#8221; css=&#8221;.vc_custom_1651064814573{padding-top: 20px !important;padding-bottom: 30px !important;}&#8221;][vc_row css=&#8221;.vc_custom_1736518629824{padding-top: 4% !important;padding-bottom: 4% !important;background-image: url(https:\/\/www.iungo.com\/wp-content\/uploads\/2024\/10\/prova_sfondo2-01.png?id=28143) !important;background-position: center !important;background-repeat: no-repeat !important;background-size: cover !important;}&#8221;][vc_column][vc_custom_heading text=&#8221;NEED&#8221; font_container=&#8221;tag:h2|text_align:center|color:%23000000|line_height:60px&#8221; use_theme_fonts=&#8221;yes&#8221; el_class=&#8221;sopratitolo&#8221;][vc_custom_heading text=&#8221;Reduce costs in procurement&#8221; font_container=&#8221;tag:h2|font_size:40px|text_align:center|color:%23000000|line_height:60px&#8221; google_fonts=&#8221;font_family:Lato%3A100%2C100italic%2C300%2C300italic%2Cregular%2Citalic%2C700%2C700italic%2C900%2C900italic|font_style:400%20regular%3A400%3Anormal&#8221;][vc_column_text]<\/p>\n<p style=\"text-align: center;\">The first point to focus on to reduce costs must be process optimization: reduce low-value-added activities<\/p>\n<p>[\/vc_column_text][\/vc_column][\/vc_row][vc_row css=&#8221;.vc_custom_1736518854507{padding-top: 4% !important;}&#8221;][vc_column width=&#8221;2\/3&#8243;][vc_column_text]The purchasing department is under constant pressure to<span style=\"color: #8cc600;\"><strong> reduce costs<\/strong><\/span> and make savings across the business.<\/p>\n<p>There are several levers on which one can act to reduce costs:<\/p>\n<ul>\n<li>renegotiate existing contracts<\/li>\n<li>making use of tenders<\/li>\n<li>scouting for new suppliers to find better terms<\/li>\n<\/ul>\n<p>These are undoubtedly good activities, but they take time: the first point to focus on in order to reduce costs must therefore be process optimisation. The first cost to be reduced is that of managing<strong><span style=\"color: #8cc600;\"> l<\/span><span style=\"color: #8cc600;\">ow value-added operational activities<\/span><\/strong>.<\/p>\n<p><strong><span style=\"color: #8cc600;\">Technology comes to our aid.<\/span><\/strong><\/p>\n<p>Continuous information exchanges with suppliers, documentation exchanges, change and negotiation management, order confirmations, expediting and archiving are all time-consuming activities that can be automated.[\/vc_column_text][vc_empty_space][\/vc_column][vc_column width=&#8221;1\/3&#8243;][vc_single_image image=&#8221;23888&#8243; img_size=&#8221;large&#8221; alignment=&#8221;center&#8221;][\/vc_column][\/vc_row][\/vc_section][vc_section full_width=&#8221;stretch_row&#8221; css=&#8221;.vc_custom_1660292943558{padding-top: 90px !important;padding-bottom: 60px !important;background-color: #515051 !important;}&#8221; el_class=&#8221;shape2&#8243;][vc_row full_width=&#8221;stretch_row&#8221;][vc_column][vc_custom_heading text=&#8221;DIGITIZING PURCHASE ORDER MANAGEMENT MAKES IT POSSIBILE TO:&#8221; font_container=&#8221;tag:h6|text_align:center|color:%238cc63f&#8221; use_theme_fonts=&#8221;yes&#8221; el_class=&#8221;sopratitolo&#8221;][vc_empty_space height=&#8221;12px&#8221;][vc_empty_space height=&#8221;70px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column]<ul class=\"iconlist iconlist iconlist-icon-small columns-3 gap-50\"><li><div ><div class=\"iconlist-item-icon\"><img decoding=\"async\" src=\"https:\/\/www.iungo.com\/wp-content\/uploads\/2022\/08\/time_light_ok-02.png\" alt=\"time_light_ok-02\" \/><\/div><div class=\"iconlist-item-content\"><span style=\"color: #ffffff\">reduce order and supplier handling time<\/span><\/div><\/div><\/li><li><div ><div class=\"iconlist-item-icon\"><img decoding=\"async\" src=\"https:\/\/www.iungo.com\/wp-content\/uploads\/2022\/08\/piu-veloci_light-02.png\" alt=\"piu-veloci_light-02\" \/><\/div><div class=\"iconlist-item-content\"><span style=\"color: #ffffff\">reduce supplier response time<\/span><\/div><\/div><\/li><li><div ><div class=\"iconlist-item-icon\"><img decoding=\"async\" src=\"https:\/\/www.iungo.com\/wp-content\/uploads\/2022\/08\/controllo_light-02.png\" alt=\"controllo_light-02\" \/><\/div><div class=\"iconlist-item-content\"><span style=\"color: #ffffff\">track and be in full control of the whole process<\/span><\/div><\/div><\/li><li><div ><div class=\"iconlist-item-icon\"><img decoding=\"async\" src=\"https:\/\/www.iungo.com\/wp-content\/uploads\/2022\/08\/updated_light-02.png\" alt=\"updated_light-02\" \/><\/div><div class=\"iconlist-item-content\"><span style=\"color: #ffffff\">manage documentation in real time and always have evidence of the latest update<\/span><\/div><\/div><\/li><li><div ><div class=\"iconlist-item-icon\"><img decoding=\"async\" src=\"https:\/\/www.iungo.com\/wp-content\/uploads\/2022\/08\/risparmio_light-02.png\" alt=\"risparmio_light-02\" \/><\/div><div class=\"iconlist-item-content\"><span style=\"color: #ffffff\">understand more easily where waste lurks<\/span><\/div><\/div><\/li><li><div ><div class=\"iconlist-item-icon\"><img decoding=\"async\" src=\"https:\/\/www.iungo.com\/wp-content\/uploads\/2022\/08\/save-time-_light-02.png\" alt=\"save-time-_light-02\" \/><\/div><div class=\"iconlist-item-content\"><span style=\"color: #ffffff\">have more time to devote to marketing purchases<\/span><\/div><\/div><\/li><\/ul>[\/vc_column][\/vc_row][\/vc_section][vc_section css=&#8221;.vc_custom_1651065726119{padding-top: 50px !important;padding-bottom: 30px !important;}&#8221;][vc_row][vc_column][vc_column_text]<\/p>\n<p style=\"text-align: center;\"><strong>Digital and automated<\/strong> process management results in:<\/p>\n<p>[\/vc_column_text][vc_empty_space]<ul class=\"iconlist iconlist iconlist-icon-medium \"><li><div class=\"vc_custom_1651069466178\"><div class=\"iconlist-item-icon\"><\/div><div class=\"iconlist-item-content\"><span style=\"color: #8cc600\"><strong>Increased operational effectiveness<\/strong>. <\/span>Our activities are carried out faster and more solidly, getting straight to the result. Reduction in the number of human resources (or the same number of human resources with an increase in volume), reduction in average order handling time, reduction in average supplier response time<\/div><\/div><\/li><li><div class=\"vc_custom_1651069510508\"><div class=\"iconlist-item-icon\"><\/div><div class=\"iconlist-item-content\"><span style=\"color: #8cc600\"><b><strong>Reduced operating costs<\/strong>. <\/b><\/span>Fewer human resources to perform the same activities, because you work better<\/div><\/div><\/li><li><div class=\"vc_custom_1651069502612\"><div class=\"iconlist-item-icon\"><\/div><div class=\"iconlist-item-content\"><span style=\"color: #8cc600\"><b><strong>Improved service level<\/strong>. <\/b><\/span>You trace the process, measure it and consequently have the necessary elements to define an improvement plan. Suppliers&#8217;performance is measured and one has concrete, objective elements to share corrective actions.<\/div><\/div><\/li><li><div class=\"vc_custom_1651069524837\"><div class=\"iconlist-item-icon\"><\/div><div class=\"iconlist-item-content\"><span style=\"color: #8cc600\"><b><strong>Increased efficiency throughout the supply chain<\/strong>. <\/b><\/span>Not only procurement, but the entire supply chain is involved in the improvement process<\/div><\/div><\/li><\/ul>[\/vc_column][\/vc_row][vc_row][vc_column][vc_empty_space height=&#8221;52px&#8221;][vc_separator][\/vc_column][\/vc_row][vc_row css=&#8221;.vc_custom_1651070055758{padding-top: 40px !important;}&#8221;][vc_column][vc_row_inner][vc_column_inner width=&#8221;2\/3&#8243;][vc_empty_space][vc_custom_heading text=&#8221;DISCOVER IUNGO&#8217;S SOLUTIONS FOR DIGITIZING THE SUPPLY CHAIN&#8221; font_container=&#8221;tag:h2|text_align:left|color:%237f7f7f&#8221; use_theme_fonts=&#8221;yes&#8221; el_class=&#8221;sopratitolo&#8221;][vc_empty_space][\/vc_column_inner][vc_column_inner width=&#8221;1\/3&#8243;][\/vc_column_inner][\/vc_row_inner][\/vc_column][\/vc_row][vc_row][vc_column width=&#8221;1\/4&#8243; el_class=&#8221;delay-1&#8243;][vc_single_image image=&#8221;24581&#8243; alignment=&#8221;center&#8221; onclick=&#8221;custom_link&#8221; img_link_target=&#8221;_blank&#8221; link=&#8221;https:\/\/www.iungo.com\/en\/iungo-purchase-orders-module\/&#8221;][vc_column_text]<\/p>\n<p style=\"text-align: center;\"><span style=\"color: #8cc600;\"><strong><a style=\"color: #8cc600;\" href=\"https:\/\/www.iungo.com\/en\/iungo-purchase-orders-module\/\">PURCHASE ORDERS<br \/>\nMODULE<\/a><\/strong><\/span><\/p>\n<p>[\/vc_column_text][\/vc_column][vc_column width=&#8221;1\/4&#8243; el_class=&#8221;delay-2&#8243;][vc_single_image image=&#8221;23325&#8243; alignment=&#8221;center&#8221; onclick=&#8221;custom_link&#8221; img_link_target=&#8221;_blank&#8221; link=&#8221;https:\/\/www.iungo.com\/en\/asn-and-barcode-labels-module\/&#8221;][vc_column_text]<\/p>\n<p style=\"text-align: center;\"><span style=\"color: #8cc600;\"><strong><a style=\"color: #8cc600;\" href=\"https:\/\/www.iungo.com\/en\/asn-and-barcode-labels-module\/\">ASN AND BARCODE LABELS<br \/>\nMODULE<\/a><\/strong><\/span><\/p>\n<p>[\/vc_column_text][\/vc_column][vc_column width=&#8221;1\/4&#8243; el_class=&#8221;delay-3&#8243;][vc_single_image image=&#8221;24000&#8243; alignment=&#8221;center&#8221; onclick=&#8221;custom_link&#8221; img_link_target=&#8221;_blank&#8221; link=&#8221;https:\/\/www.iungo.com\/en\/purchase-and-quotation-requests-module\/&#8221;][vc_column_text]<\/p>\n<p style=\"text-align: center;\"><span style=\"color: #8cc600;\"><strong><a style=\"color: #8cc600;\" href=\"https:\/\/www.iungo.com\/en\/purchase-and-quotation-requests-module\/\">PURCHASE AND QUOTATION REQUESTS<br \/>\nMODULE<\/a><\/strong><\/span><\/p>\n<p>[\/vc_column_text][\/vc_column][vc_column width=&#8221;1\/4&#8243; el_class=&#8221;delay-4&#8243;][vc_single_image image=&#8221;24002&#8243; alignment=&#8221;center&#8221; onclick=&#8221;custom_link&#8221; img_link_target=&#8221;_blank&#8221; link=&#8221;https:\/\/www.iungo.com\/en\/supplier-register-module\/&#8221;][vc_column_text]<\/p>\n<p style=\"text-align: center;\"><span style=\"color: #8cc600;\"><strong><a style=\"color: #8cc600;\" href=\"https:\/\/www.iungo.com\/en\/qualification-process-module\/\">QUALIFICATION PROCESS<br \/>\nMODULE<\/a><\/strong><\/span><\/p>\n<p>[\/vc_column_text][\/vc_column][\/vc_row][\/vc_section][vc_section full_width=&#8221;stretch_row&#8221; content_placement=&#8221;middle&#8221; css=&#8221;.vc_custom_1660294482523{background-image: url(https:\/\/www.iungo.com\/wp-content\/uploads\/2019\/10\/bgpartner.jpg?id=16787) !important;background-position: center !important;background-repeat: no-repeat !important;background-size: cover !important;}&#8221;][vc_row equal_height=&#8221;yes&#8221; el_class=&#8221;riga-formpartner&#8221;][vc_column][vc_empty_space height=&#8221;300px&#8221;][\/vc_column][vc_column width=&#8221;4\/12&#8243; el_class=&#8221;colonna1&#8243;][vc_custom_heading text=&#8221;Want to digitize your supply chain and reduce costs?&#8221; use_theme_fonts=&#8221;yes&#8221; el_class=&#8221;titolo&#8221;][vc_column_text]Fill in the form to contact us![\/vc_column_text][\/vc_column][vc_column width=&#8221;8\/12&#8243; el_class=&#8221;colonna2&#8243;][vc_custom_heading text=&#8221;Let&#8217;s get in touch!&#8221; font_container=&#8221;tag:h3|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_empty_space][vc_raw_js]JTNDc2NyaXB0JTIwY2hhcnNldCUzRCUyMnV0Zi04JTIyJTIwdHlwZSUzRCUyMnRleHQlMkZqYXZhc2NyaXB0JTIyJTIwc3JjJTNEJTIyJTJGJTJGanMuaHNmb3Jtcy5uZXQlMkZmb3JtcyUyRnYyLmpzJTIyJTNFJTNDJTJGc2NyaXB0JTNFJTBBJTNDc2NyaXB0JTNFJTBBJTIwJTIwaGJzcHQuZm9ybXMuY3JlYXRlJTI4JTdCJTBBJTIwJTIwJTIwJTIwcmVnaW9uJTNBJTIwJTIybmExJTIyJTJDJTBBJTIwJTIwJTIwJTIwcG9ydGFsSWQlM0ElMjAlMjI2MTk4OTAlMjIlMkMlMEElMjAlMjAlMjAlMjBmb3JtSWQlM0ElMjAlMjI2ZmY1MmY3OC1iOTk1LTRmNGMtYjIwOS0xNTcxNGE0OWZkZjklMjIlMEElMjAlMjAlN0QlMjklM0IlMEElM0MlMkZzY3JpcHQlM0U=[\/vc_raw_js][\/vc_column][\/vc_row][\/vc_section]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>[vc_section full_width=&#8221;stretch_row&#8221; content_placement=&#8221;middle&#8221; css=&#8221;.vc_custom_1651064814573{padding-top: 20px !important;padding-bottom: 30px !important;}&#8221;][vc_row css=&#8221;.vc_custom_1736518629824{padding-top: 4% !important;padding-bottom: 4% !important;background-image: url(https:\/\/www.iungo.com\/wp-content\/uploads\/2024\/10\/prova_sfondo2-01.png?id=28143) !important;background-position: center !important;background-repeat: no-repeat !important;background-size: cover [&hellip;]<\/p>\n","protected":false},"author":2084,"featured_media":24802,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"tmpl\/template-fullwidth.php","meta":{"_acf_changed":false,"content-type":"","footnotes":"","_vp_format_video_url":"","_vp_image_focal_point":[]},"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How to reduce costs in procurement? IUNGO has some suggestions<\/title>\n<meta name=\"description\" content=\"The first point to focus on in order to reduce costs in procurement must therefore be process optimisation.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.iungo.com\/en\/reduce-costs-in-procurement\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How to reduce costs in procurement? 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