Benchmarking is a systematic discovery of best practices and a stepping stone to innovative, continuous process transformation. By benchmarking, procurement organizations can identify problem areas letting procurement leaders set new targets and recalibrate operations to achieve better results. According to an analysis made by The Hackett Group in this report, world-class operating cost (i.e., procurement cost as a percentage of spend) is 18% lower than that of more typical companies benchmarked (i.e., the “peer group”).
Download this Research Report from The Hackett Group to know:
- Why benchmarking the cost of procurement is important
- What makes up procurement cost as a percentage of spend?
- Essential performance measures to effective benchmarking
- Guidelines for benchmarking labor, outsourcing, procurement technology and other costs