Vendor management is one of the most complex and sophisticated methods in the whole procurement process. It can seem simple when the number of vendors is small, but the complexity rockets “straight up” as the number of purchases gets higher.
Staff, managers, employees, and internal resources responsible for managing this vital part of an organization are under constant pressure to manage the complexity of both individual decisions and company process requirements. Because of these complexities, organizations are finding it more and more difficult for staff and management to follow vendor management procedures.
There are several reasons for this to be the case;
- In today’s corporations, many tasks are assigned to internal resources
- Time and knowledge needed to manage vendors isn’t available
- The appropriate focus and/or attention is lacking
- Thorough audits are not performed consistently
- Not enough time or knowledge to analytically evaluate where savings could occur
- Benchmark analytics for the renegotiation of contracts is unavailable
The multiple tasks become even more difficult to manage, track, and organize when there is the absence of an organized, trackable system.
The complexity of managing these procurement processes (and the people responsible for following them) is incredibly difficult in a constantly changing, competitive human resource environment.
The financial and reputational damages are costing organizations thousands – or even millions in some cases. Many companies ARE getting ahead of this problem by finding a partner with the tools and expertise to manage the details, as it relates to local, regional, or even national service-related costs.
They need a partner they can trust, that will do the benchmark analysis on every single vendor, ensure bills get paid on time and services providers aren’t taking advantage of you, and actively renegotiate for lower pricing and better T&Cs, ultimately resulting in the elimination of “spend fat” and more strategic use of budgets.
The least common but most effective solution is using a powerful fully-managed VMS service to externally manage, monitor, and engage vendors efficiently on an ongoing basis. Finding the RIGHT EXPERT RESOURCE to manage vendors will not only provide insight into a more effective process but also help employees better follow procedures. This ensures your organization is not exposing itself to risks and lost profits.
LIMITLESS offers a fully managed solution to ensure you are “paying for what you are receiving”. Ensuring contract terms are met as well as compliance standards. Tracking any potential risks, optimizing your billing, and managing all contracts and agreements in one central software solution.
Outsourcing vendor management to a third party will also help standardize processes, and consistency helps enable the transparency essential to effective governance. This helps to alleviate flawed data and costly mistakes.
Limitless Technology, LLC has been managing complex indirect spend and vendor documentation since 2006 for some of the largest companies in the USA saving them millions in costs.
Through our Billing Optimization and Vendor Management Solutions proprietary platforms, we utilize technology, processes, expertise, time, and resources to improve our client’s bottom line.
Limitless Technology manages your vendors, so you can manage and grow your business.
For Additional Information Contact us at 407.330.4466