The Challenge:

Services spend management at this large retail clothing company had taken on a distinctly ‘Wild West’ flavor. Individual supplier relationships were ruling the day. There was no central review or management resulting in highly disparate rate structures. With no process to speak of, everything was extremely manual and resulted in a decidedly non-compliant environment (with over 40% of contractors on expired or no PO).

The Solution:

IQNavigator offered the perfect blend of vendor management technology combined with managed service expertise to help institute the right policies, apply the right controls, and enable access to the right information for informed decision making. With a full service solution, this retailer was able to take control of their services spend.

The Results:

Cost Control

• $1.1M projected annualized cost savings due to Best Pricing Discount
• 26% reduction in average bill rate in first year of program
• 36% decrease in staff augmentation contingent labor spend for 2008 fiscal year

Compliance

• 100% compliance with PO policy and Signing Authority Limits
• 100% compliance with contractor Length of Stay policy

Process Improvements

• 0 invoices on hold
• 100% of vendors signed new standard Master Services Contract