Supplier Data Consolidation Helped Gain Actionable Insights And Save Costs

CASE STUDY

Supplier Data Consolidation Helped Gain Actionable Insights And Save Costs

SUMMARY

The client had its business spread across multiple countries, and supplier’s data resided in various IT systems. They were dealing with a mesh of suppliers and struggled to get a consolidated view of its base and expenditures. Sancus was leveraged to cleanse the supplier data from various systems. Spend data was extracted from invoices using Intelligent Character Recognition technology and matched against cleansed supplier Master Data to provide spend/cost-saving insights to the procurement team, thereby discovering new saving opportunities.

APPROACH

Sancus was leveraged to consolidate Supplier data from Supplier Information Management and ERP systems, and then the problem was broken down to work towards providing actionable insights:

Spend data was extracted from invoices
Spend Taxonomy was created and then further classified into various buckets using AI/ML techniques
Sancus helped create entity hierarchies using 3rd party APIs
Lastly, Spend data was analyzed to identify saving opportunity by detecting price variances and anomalies in at SKU, Category, Geography, etc. level

KEY BENEFITS

The client was able to better understand the supplier base because of data consolidation, and take effective strategic decisions
The analytics layer on top of clean data helped identify cost-saving opportunities

RESULTS

Reduced indirect spend by 9% in the first quarter

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