Purchasing professionals work hard to identify the best
suppliers and negotiate best value agreements. While contracts lock
in those terms for use by the organisation, advantages are lost
when spend is off contract, perhaps because contracts are not
available or apparent at the time of buying. In addition both
organisations may be at risk if contracts expire or if either party
fails to comply with contract provisions.
There are many challenges to bringing spend under contract and
contracts under control.
- Contracts are often filed in different places, making it
difficult to know where to find a particular contract (and
virtually impossible to get a consolidated view of
- Distributed contract management leads to duplicate agreements
and missed opportunities for volume-based savings
- Contract review dates are often missed, resulting in unexpected
lapses and unwanted automatic renewals
- Buyers have no visibility of contracts at point of purchase
leading to purchases being made off-contract, resulting in missed
savings and poor vendor relationships
- Without automatic capture of actual purchase and delivery
activity, it is very difficult to measure contract compliance
Working with our clients, PROACTIS addresses these issues.