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Case N° 2
Our customer had a weakness in his paper contract management. In a geographically delocalized sourcing organization, the contracts were lost, or access was difficult, contract terms were not properly used, there was no easy access to renewal schedules so they were not happening when they should. Storing contract copies in multiple locations did not facilitate the contract’s version update. In some cases our customer needed to contact the supplier to get contract information. Finally, due to the independence of Sourcing divisions it was difficult to have accurate knowledge about all the contracts agreed for a specific product category or with a vendor.
This situation generated:
time and revenue loss.
negative impact on procurement event outcomes.
poor audit feedback.