Pragmatic Strategies
Strategic opportunities are quantified and documented in an extensive presentation to Finance, Procurement and Systems, backed with proofs of concept. An executive summary slide in the presentation, facilitates leadership's approval for implementation.The format of the summary slide is:
Recommended VPO Strategy | Applicable Spend | Applicable Suppliers | Projected Improvement |
Strategy 1 | $ | Non-discount | 3.4 DPO |
Strategy 2 | $ | Goods | 3.5 DPO |
Strategy 3 | $ | Goods & Services | 45 DPO on 35% of spend + 1.5% discounts/yr. on 10% of spend |
Strategy 4 | $ | Discount | 1% discounts/yr. on 5% of spend |
Strategy 5 | $ | ACH | 5 DPO |
Strategy 6 | $ | Goods & Services | 3.3 DPO |