ARCBLUE SERVICES

Cost Optimisation

Make procurement cost savings in your business with
the ArcBlue Savings Accelerator

Optimise procurement costs and find savings in your business – fast, with Savings Accelerator

The ArcBlue Savings Accelerator has been designed to identify opportunities to rapidly make cost savings in your business and drive sustainable benefits. We take your disorganised raw data and convert it into an interactive spend cube dashboard – giving you an easy-to-analyse source of truth to enable your hunt for value.

We apply a broad range of benchmarks to create the opportunity heatmap, and test against a full set of value levers. We then work with your key stakeholder groups to validate, refine and size the opportunities before developing the execution ‘wave plan’ to drive savings through the organisation.

Savings Accelerator delivers an average return on investment of 10x – 15x.

Why ArcBlue to optimise your procurement costs?

A robust implementation plan within 6 weeks through a Consultative approach
Deep analytics skills and benchmarks from ~$300B of spend analysed to date
Proven approach applying a comprehensive set of value levers to uncover full cost savings potential
Trusted procurement practitioners and negotiators with hands on delivery experience

Deliver sustainable procurement savings that stick, not just short-term savings
Wide range of industry and category expertise to increase speed to value
Leading practice technology portal to keep everyone on the same page

How it works

1. COLLECT & INTERPRET THE DATA

We work with your team to identify and collect the most complete data set possible, and ensure we have understood the nuances of your data set.

2. CLEANSE, CATEGORISE & VISUALISE THE DATA

We’ll then cleanse and categorise the data into a ‘market facing’ taxonomy, creating an online spend cube that can be shared with you and utilised by the team.

3. INITIAL OPPORTUNITY ANALYSIS

An initial analysis identifies hotspots by applying a range of benchmarks, testing for certain characteristics and understanding the level of maturity in each category.

4. VALIDATE OPPORTUNITIES, VALUE & SEQUENCING

We apply a full set of value levers and validate our hypotheses before sizing and sequencing the opportunities aligned to your objectives.

5. DEVELOP IMPLEMENTATION STRATEGIES

Post validation, we create detailed implementation plans for your in-scope opportunities and take these through an agile governance process to ensure there is organisational support.

6. EXECUTE STRATEGIES / NEGOTIATIONS

Approved opportunities are moved to execution as quickly as possible. Our team can either fully deliver, support or coach your team to deliver the value. Progress is tracked and reported via our portal.

Visualise your potential with our Savings Tracker

We provide you access to our mybuy Savings Hub which provides real-time visibility of the benefits, size and progress for each opportunity.

We use a proven, structured process to cleanse your data

1. Data Provided

GL data, p-card, contract database and other sources of data to bring into data cube. Data can be provided live through an API, monthly or quarterly

2. Create Taxonomy

A procurement taxonomy is applied (different from GL coding) to understand spend by category rather than by supplier and cost centre

3. Cleanse & Categorise

Our analytics team use the support of AI tools to remove erroneous and duplicate data and categorise to the taxonomy

4. Improve Value

Categorised and cleansed data is then fed through our opportunity analysis processes to develop strategies to reduce cost and improve value

5. Refresh

Regular refreshes (quarterly or monthly) expand the database and further develop cleansing rules to allow for more accurate categorisation over time

Need help to remove unnecessary costs from your business?

ArcBlue uses a structured methodology to identify and analyse costs to drive sustainable benefits. Our cost optimisation programs deliver a return on investment between 10x – 15x.