An IMS Fortune 200 CPG Client has relied on our account teams to source traditional POS displays across all of its divisions since 2007. In addition to campaign merchandising management, they also needed to control maverick spend throughout the organization. While they knew this rogue execution was occurring, damaging their brands and increasing costs, they had limited visibility into the size of the problem and no means to control it.
Client Case Study
Tackling Rogue Tail Spend with IMS Consolidator Improves Visibility, Reduces Cost, Increases Workflow Efficiency
Project Details
Maverick spend took marketers away from focusing on strategic development and brand growth. They had to both source merchandising solutions and services themselves, as well as manage the backend vendor setup, billing & invoicing.
IMS recommended leveraging our proven sourcing solutions to execute one-off transactions (4,500 annually across 1,200 suppliers) in order to consolidate tail spend while reducing the supply base. This includes access to a rigorously validated vendor management network that provides visibility and traceability across vendors and spend categories, and a reverse auction environment that dramatically drives down cost.
Outcome
IMS increased process efficiency by 50% for our client’s marketing and finance teams by eliminating 14 steps from their processes.
The new supplier management solution creates multiple bids for each product/service and aggregated service providers across brands where possible, increasing cost efficiency across the board.
IMS systems now capture all transactions for strategic classification of spend, access to historical purchases, and easy reporting for marketers to use (e.g. budgeting, tracking spend against sustainable or minority targets, etc.), delivering spend and activity visibility for improved decision-making.
50
increase in workflow efficiency
4500
annual one-off transactions eliminated
1,200
unnecessary vendors consolidated to a single client point of contact, IMS
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