Healthcare

Enhanced company-wide spend visibility, 25% supplier compression, and 99.5% spend classification

Challenges
The client is a leading pharmaceuticals provider. They had over 50 data sources representing spend payments with no ability to view company-wide spend without a tremendous amount of manual work. Inconsistencies in supplier name spellings across multiple ERP systems made it very manual and labor-intensive to capture total spend for a supplier. The client wanted the ability to track spend metrics by supplier and category over time, as well as the ability to analyze purchasing leverage based on the level of fragmentation in the supply base.
Solutions
ElectrifAi solutions executed the following for spend data across 50 data sources: Data Validation, Data Cleansing and Consolidation, Vendor Clustering and Parenting, Spend Classification, Application of Abbott Laboratories Feedback, Data Extraction and Delimited Text File Delivery.
Outcomes
35%
supplier compression leading to higher negotiating leverage
99.5%
spend classified for better visibility
Savings from company-wide spend visibility and management
ElectrifAi’s solution achieved a company-wide view of spend across all business units and locations with 35% Supplier Compression. 99.5% of spend was classified with consolidation and normalization of spend data across 50 source systems.