Are you making your cost savings work for you? According to our newly released 2019 Metrics of Supply Management report, in the CAPS Library now, the average cost savings as a percentage of managed spend is 5.7% (2.8% avoidance and 2.9% reduction). While the overall average cost savings has not changed much from the previous year (5.8%), our managed spend percentage has seen an increase. Organizations continue to drive savings in traditional ways, such as leveraging spend, but they are also pursuing alternative approaches such as unbundling, influencing demand and specifications, and getting involved in non-traditional categories.
The Metrics of Supply Management report details many of the metrics by sector and by industry. Some of our most popular metrics in the report give organizations comparatives and benchmarks to help drive change - managed spend, cost savings, supply management organizational design, strategic v. tactical, savings per employee, budgets, ROI, and so much more. As a reminder: even if you created an account before June, to access this report, create a new account in the new library now.