The new Zycus P2P Benchmark study for indirect spending is out! More than 450 global procurement organizations participated in this study. The results paint a sobering – yet hopeful – view of the progress enterprise procurement organizations worldwide have made to date with:
- Creating actionable visibility around indirect spending
- Placing indirect spend categories under management by disciplined, professional procurement teams
- Identifying and contracting with preferred providers of indirect goods & services
- Winning compliance to enterprise supply contracts, controlled P2P processes, preferred pricing and other contract terms for indirect spending
- Automating and improving cost efficiency, transaction accuracy, financial governance & control and speed in indirect P2P processes
Presented in two parts, the Zycus P2P Benchmark report covers more than two-dozen key performance indicators (KPIs) in all. Part 1 of the study covers various indices for Indirect Spending procurement processes and a comprehensive picture of the Current P2P Landscape.
Some of the interesting trends that may be noticed in this part of P2P Benchmarking study are mentioned below:
- Corporations, overall, have achieved less than 50% visibility into total indirect (ID) spending and even less penetration in terms ID spend addressed by procurement and/or under contract with preferred providers
- Where enterprise contracts do exist for ID spending, both contract and process compliance remains a persistent problem for many
- Only 40% of indirect spending is currently addressed by P2P automation technology solutions, and procurement pros are not tremendously optimistic about their abilities to increase that percentage with current (first-generation) P2P deployments
For more insights, access your copy of the report now by clicking on the download button below and find out where your procurement organization fits into the global competitive landscape for performance on indirect spend management and procure-to-pay efficiency and effectiveness.
Moreover, stay tuned for Part 2 of our report, in which you can learn how your organization compares for performance on: P2P process accuracy, governance & controls, speed and cost efficiency as well as enterprise adoption, use and ratings for P2P technology solutions.
