Category: Casestudy

trade promotion

Tracking Return on Promotional Investment and Improving Sales Revenue by 12% for a CPG Company

Consumer packaged goods companies spend a significant proportion of their revenues on trade promotions but returns on that investment can be disappointing at times. This makes it imperative for businesses to consider trade promotion optimization solutions and close the gap between ambition and reality.

The Business Problem

The client is a leading consumer packaged goods company in the US that operates in a highly competitive market and relies heavily on effective planning and executing promotional and trade investment activities. However, their existing sales and marketing planning capabilities were proving inefficient for the organization. Most of their activities in the business were being planned and tracked through multiple tools, data was collected manually, and insights were inconsistently shared. As their trade investment levels rose steadily, they felt the need to improve the accuracy of their sales forecasting, establish baseline sales, and determine cannibalization within the brand portfolio. The realization that trade promotion can make or break the bottom lines of organizations compelled the client to engage with SpendEdge and leverage their services.  The key challenges they were looking to address through this trade promotion optimization engagement were:

  • Lost sales to forecast accuracy
  • Inefficient trade spend
  • Disconnected processes
  • Lack of retailer collaboration.

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inventory management

Inventory Management: Making Shopping a Smooth Experience for Shoppers and Providing Scope for the Expansion of Businesses

The Business Problem

A European private-label clothing and accessory manufacturer that designs and manufactures its own line of apparels wanted to improve its stock management, store operation, and logistics capabilities to gain a competitive advantage in the market. They sought to implement item-level tagging to every item whether jackets, skirts, or socks to increase the efficiency of their inventory management system. Moreover, they wanted to deploy an inventory management system that could follow the implementation guidelines issued by the European Fashion Council and Textile Regulation.

Managing inventory is imperative for companies to meet the changing demands of customers and increase their revenues. Request a free proposal and access our complete portfolio inventory management solutions today.

Solutions Offered and Client Journey

SpendEdge’s analyst team conducted a comprehensive analysis to optimize workflows and business processes that can help the client reduce human error in inventory management. Based on the analysis, they categorized products that were moving fast and devised inventory management strategies that could capture and share the information of products across all warehouse departments in real time and prevent errors in purchasing, sales, and billing.

The experts at SpendEdge offered an inventory management solution that was capable of saving time and money on store operations. They encoded EPC tags with Serialized  Global Trade Item Numbers to every product at the manufacturing factory to gain real-time information regarding the delivery of items at distribution centres. This tagging allowed the client to inspect the entire carton in a few seconds by simply scanning the label/code. Moreover, with such an effective inventory management system, the inventory accuracy increased substantially and improved the process efficiency of the client.

Want to know how real-time information can help companies to improve their inventory?

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Key Finding & Outcomes

Faster Checkout for Shoppers

The improved inventory management system helped the client witness a noticeable difference in the shopping experience provided to customers. The stores and boutiques equipped with this system immediately read the chosen items and calculated the amount to be paid. This made the shopping experience smoother and faster for both customers and teams.

Provided Scope for Expansion  

The improved inventory management process helped the client to expand their presence in different countries in Europe. Also, it reduced labor costs by making employees more efficient, while maintaining their current payroll. This increased their bottom line and alerted them to update their inventory of certain products after they reach below a designated level. Want to know more about benefits, request for more information.

What is the Role of Inventory Management in the Apparel Industry?

Inventory management plays a crucial role in the apparel industry as the inventory of goods changes frequently.  Companies need to replace outdated fashion pieces with new ones and provide options to their customers on a regular basis that means the change of the inventory’s product mix.

Without an effective inventory management system, implementing changes in the product mix can be difficult and time consuming. Therefore, businesses need a proper inventory management system that can make things the complete process easier and faster.

Wondering how effective inventory system can help companies increase their process efficiency?  Get in touch with our experts today!

strategic sourcing

Strategic Sourcing: Enabling E-commerce Businesses to Strengthen their Position in Australia

Download this free article to know improving strategic sourcing process can help companies to strengthen their position in the Australian market amid the rising market opportunities.

Globalization of supply chains has made ecommerce giants explore market opportunities in different countries. But at the same time, it has also increased the number of third-party logistics (3PL) providers and co-packing suppliers which is negatively impacting the cost efficiency of companies. They need a strategic sourcing model that can successfully reduce operational costs and improve spend visibility.

The Business Problem

Know how, a $10 billion-plus global leader in e-commerce business engaged with SpendEdge to leverage strategic sourcing to strengthen its position in the Australian region. The client also focussed on building an agile supply chain and improving third-party logistics (3PL) operations to reduce spend on transportation and warehouse management. The key objectives they were looking to achieve through this engagement were:

  • Manage the rising number of suppliers.
  • Improve the supply chain process
  • Reduce operational costs.
  • Track their purchasing budget, stocks, and supply market.

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spend management

Boosting Process Efficiency and Improving Spend Management for an Electronics Company

The Business Problem

The client – a global electronics manufacturer with operations spread across different Asia-Pacific regions was witnessing profit decline amid mounting macro uncertainties. The slower revenue growth in the emerging markets and the rising US-China trade tensions were compelling the client to improve spend management and mitigate challenges impacting the cost of finished products. The need to gain visibility into the spend and drive organizational value forced the client to engage with SpendEdge. The objectives they were looking to achieve through this engagement were:

  • Centralize legal entities into one procurement function and unify processes to deliver bottom-line savings.
  • Reduce capital expenditure to avoid excess inventory and quality issues impacting the spend and the cost of finished products.

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steel market

Creating a Revenue Cost Model and Increasing Exports in the Steel Market 

The Business Problem

The continued volatility and dynamics in the world economies were creating relentless pressure on the client, a leading steel company to remain competitive in the European Union (EU) steel market. The company mainly relied on basic oxygen furnace(BOF) for production and the likelihood of an increase in existing carbon prices and regulatory intervention was exposing the company to additional costs. Moreover, inaccurate market insights were creating difficulties for them to gauge changing customer preferences in the steel market. This compelled them to engage with SpendEdge and identify cost elements that were the key drivers of cost.

Analyzing the steel market is crucial for companies to determine prices and ensure a smooth steel supply across the supply chain.  Request a free proposal and access our complete portfolio of cost analysis solutions to estimate steel prices.

Solutions Offered and Client Journey

The experts at SpendEdge conducted a complete cost model analysis to assess the impact of each cost driver on the overall cost of steel. They analyzed the EU steel market and recommended the client to focus on Ultra-low-carbon Dioxide Steelmaking (ULCOS) programme. This helped the client to take initiatives that were capable of reducing Carbon dioxide emissions and increase brand value in the steel market.

SpendEdge’s experts also realized that the company needed to set 2020 emissions intensity targets in order to implement robust, responsive and resilient business strategies. They formulated a systematic management process to monitor the annual budget of production costs and understand expected profitability. The engagement thus enabled the client to accurately value inventory stock in real-time to meet the demand for rolled products in the global steel market.

Want to track steel prices and address changing consumer demands in the steel market?

Request a free demo and know how cost analysis can help you in ensuring steel supply and managing the cost of steel.

Key Findings and Outcome

Integrated cost planning

The total cost analysis performed integrated the company’s sales and operations (S&OP) process. This provided them precise insights of the next 12 months for demand and constrained capacity across cast iron and metal iron used for the production of steel. This helped them to create the revenue cost planning model that reflected factors such as routings and yield prevailing in the steel market. For detailed insights, request for more information.

Increased exports

The integrated cost planning helped the client to ramp up the exports against the background of contracting domestic demand and rising regulatory intervention. They were able to build their presence in the US steel market for seamless tubes by shifting the competition from price to product quality.

Overview of the Global Steel Consumption Trends 

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IT risk management

Increased Operational Efficiency Across Security for a Tech Company by Leveraging SpendEdge’s IT Risk Management Services

The Business Problem

A leading tech company in the United States found themselves compromised by cybercriminals entering through a third party in the supply chain despite having a robust cybersecurity control system.  The company lacked visibility into the security practices implemented by third parties and continued sharing sensitive information with them. This restricted them to

  • Shift their security program to Cloud and DevOps teams.
  • Decrease the entry points of malicious actors and made them more vulnerable to DDoS attacks.

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supply chain risk management

CPG Company Utilizes SpendEdge’s Supply Chain Risk Management Solution to Achieve Cost Savings of Over 11%

The Business Problem

The client is a well-renowned company in the consumer packaged goods (CPG) industry and produces a wide range of products in the beauty, grooming, and household care units. The client’s business units were spread across 50+ countries across the globe. However, they were facing challenges in price and quality benchmarking for their products and machines. The need to identify suppliers who were critical for their business processes and associated risks compelled them to engage with SpendEdge. The key aspects they were looking to address through this engagement were:

Risks Associated with OEM Supplier and DFC Rolls: The double face corrugated (DFC) rolls used during shipment to prevent boxes from getting damaged lacked superior quality. In addition, machine cutting consumables were directly purchased from the original equipment manufacturer without any price benchmarking; thus, increasing the possibility of supply chain risk.

Cost of Reusable Gloves: The single-use gloves used by the client were becoming cost prohibitive and they were facing challenges identifying new suppliers who were within their budget limit.

Improving your supplier identification process can help you achieve substantial growth. To know more about how we can help your business with our supply chain risk management solution, request a free proposal below!

Solutions Offered and Client Journey

The experts at SpendEdge carried out a comprehensive risk assessment and identified suppliers who were critical for the company. In addition, they identified risks associated with key stakeholders and those associated with supply capacity, fluctuation in supply capacity, and their subsequent impact on prices.

In a span of three weeks, the experts at SpendEdge offered a solution to improve the client’s supply chain risk management capabilities. They also recommended utilizing an existing and pre-approved chemical supplier to provide/produce nitrile reusable gloves. The insights offered helped them to identify appropriate suppliers and evaluate their performance proactively. With our help, the CPG company was able to secure alternate suppliers and reduce the likelihood of supply chain disruptions. 

Wondering how you can proactively identify supply chain risk and devise strategies to manage them?

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Key Findings and Outcome

SpendEdge’s supply chain risk management service enabled the client to identify new suppliers and assess their delivery capabilities. The initiation of quality testing and price benchmarking helped create competition among the existing suppliers and provided opportunities for efficient contract management. The supply chain risk management solution helped the client to:

  • Achieve cost savings of more than $9,000, while exploring the usage of reusable gloves.
  • Reduce dependence on OEMs and achieve cost savings of more than 11%.
  • Shortlist suppliers with low financial risk and identify cost-saving opportunities.
  • To know more about this engagement, get more info.

Types of Supply Chain Risk

Supply chain risk management

Why is Supply Chain Risk Management Important?

Supply chain risk management is an essential part of any strategy and plays a crucial role in determining the financial health of any company. It helps determine the success of your business by helping you to proactively strategize plans for business risks. Supply chain risk management is imperative for companies looking to ensure the smooth functioning of their business units. To know about supply chain risk management best practices, click here.


Want to know more about supply chain risk management best practices for your industry? Get in touch with our experts today!

vendor risk management

Vendor Risk Management: How it Helped a Financial Services Provider to Measure ROI and Ensure Compliance with OCC

The Business Problem

A well-reputed financial services provider in the United States, who was focusing on addressing customers’ needs and shape the future of finance, sought to implement a robust system that would be able to identify and manage vendor risks proactively. They were looking to ensure compliance with OCC Matters Requiring Attention (MRA), while gaining a granular view at the vendor level. The key objectives they were looking to achieve through this engagement were:

  • Devise a vendor risk management framework to address in-efficient and rising costs occurring due to the addition of new vendors and services.
  • Implement a multi-dimension approach to calculate risk and enforce an effective corporate policy.

Establishing a vendor risk management process is critical to ensure compliance and manage vendor risk. Request a free proposal and access our complete portfolio of vendor risk management solutions.

Solutions Offered and Client Journey

SpendEdge engaged with the client as a cross-functional team and established a performance monitoring function to monitor risks associated with each vendor. They identified vendors based on their level of inherent/residual risk and determined how critical they were to the firm. The vendor risk management process also helped the client to ensure compliance with all regulations and guidelines.

In a span of 45 days, SpendEdge provided a centralized repository that captured vendor profiles, services provided by vendors, assessments, and evidences. This enabled them to categorize vendors (Level 1, Level 2) and create configurable workflows for each assessment cycle.  Centralized issue tracking and action plan management allowed for the creation and management of various issues resulting from the assessments and the resulting action and remediation plans.

SpendEdge improved the vendor risk management process and communicated the client’s organizational policies and on-boarding documents to the vendors. In addition, the experts analyzed risk at service level to help executives pin-point the exact problem area and not just on the overall vendor profile.


Want to ensure that your company is compliant with all regional regulations and guidelines?

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Key Findings and Outcome

With the aid of SpendEdge’s vendor risk management solution, the client witnessed an increase in efficiency and transparency in their vendor relationship management process. A centrally hosted vendor risk management process helped lower costs for the organization by 12% and provided an easier mechanism of data exchange. Benefits included:

  • Measuring ROI and reducing risk.
  • Reviewing metrics and trends.
  • Gaining common view of all risk.
  • Analyzing risk at regular intervals.
  • Developing a robust set of capabilities to assess the maturity of their existing program.
  • Providing a strategic governance foundation for all enterprise initiatives and programs.
  • To know more about this engagement, get more info.

Steps for Successful Vendor Risk Management ?

Devising a vendor risk management framework is a challenging task.  The process becomes invariably complex because of the large number of stakeholders i.e., procurement professionals, information and physical security, legal and regulatory compliance, and many more. Some key steps for establishing vendor risk management framework include:

  • Identifying vendors.
  • Prioritizing vendor-based risks.
  • Tracking new vendors.
  • Reviewing contracts.
  • Keeping regular check.

Want to know more about the benefits of vendor risk management? Get in touch with our experts now!

supplier performance management

A Leading Oil and Gas Company Reduces the Net Adjusted Cost of Preferred Suppliers by 12% with the Aid of Supplier Performance Management

The Business Challenge

A leading oil and gas company, who had received substantial concessions to explore and produce natural gas in several gas fields in the United States, was facing challenges in evaluating the performance for pipe, fitting, and flange suppliers for the company. With over 31% spending on pipe, fitting, and flange materials in the financial year 2017-18, they accounted for substantial spending on materials. Therefore, it became crucial for them to implement a robust supplier performance management system that would help them improve the supplier selection process and supply chain management process for the company.

Evaluation of suppliers’ performance is critical for companies to improve supply management. Request a free proposal and access our complete portfolio of supplier performance management solutions.

Solutions Offered

SpendEdge aligned with the client and developed a conceptual supplier performance management framework for pipe, fitting, and flange suppliers. The also proposed a framework which evaluated the supplier performance on the basis of quality, delivery, service and flexibility and identified ways to improve them. They also conducted in-depth interviews with procurement professionals to confirm the appropriateness of the supplier performance management process.

In a span of two months, the supplier performance management process enabled the client to measure factors such as on-time delivery, quality of sales, and delivery accuracy and summarize the overall performance of their suppliers. The insights gained through supplier performance metrics helped them in making informed and knowledge-based decisions about various supply management issues. This involved minimizing operational costs, identifying the most profitable distribution channels, and optimizing the utilization of assets. Additionally, better supplier performance management helped address key areas where the company needed to make improvements related to cost, on-time delivery, quality of goods and services, and inventory.

Interested in making knowledge based decisions about different supply management issues?

Request a free demo and know how our experts can help you gain accurate market insights.

Key Findings

Ranked suppliers

SpendEdge’s approach helped the client to determine supplier performance score on the basis of supplier performance metrics pre-decided by them. The score deduced was based on four main criteria – quality, delivery, service, and flexibility and provided insights to rank suppliers apart from improving supplier relationship management capabilities.

Determined cost ratio

The supplier performance management solution helped them to evaluate the total cost of each purchase, including selling price with the buyer’s internal operating costs pertaining to quality, delivery and services. This allowed the client to decrease the net adjusted cost of preferred suppliers by 12%.

What are the Benefits of Supplier Performance Management?

As a majority of companies feel that two out of the top three major procurement risk factors are associated with suppliers – specifically “dependency on supplier” and “supplier quality problems” – implementing a robust supplier performance management program becomes a must. Some other benefits of supplier performance management that companies look to achieve are:

Improves brand value: Supplier performance management help companies to track supplier performance against set KPIs and enable them to take corrective actions that are imperative for maintaining brand value.

Avoid costs: A variety of cost factors can be tracked using supplier performance management, which can affect both the hard and soft dollar costs for the company. The information provided by the supplier performance management system helps in cost savings by centralizing supplier data into a single source of information for vendors.

Segment and rank vendors: Apart from gaining visibility into specific groups of suppliers and their overall ability to meet organizations expectations and requirements, supplier performance management can help make data-based decisions, especially when it comes to determining the ranking of vendors.

Interested in leveraging the true benefits of supplier performance management? Get in touch with our experts today!

compliance management

How Compliance Management Helped a Consumer Products Company to Reformulate Products with a Net Sales Value Over $230 Million – A SpendEdge Success Story

The Business Challenge

A global consumer products company that manufactures and markets brand-name food products for consumers throughout the world was facing predicaments in meeting the local municipalities deadlines for regulatory compliance using FDA guidelines. With strict legislative deadlines looming over more than $150 million (net sales value) worth of products, the client had less than a year to reformulate, test, produce, and distribute over 250 of its products. The increasing pressure on the internal corporate team compelled the client to collaborate with SpendEdge and build a compliance management system.

Having an operational compliance management system is vital for companies to avert unprecedented risks. Request a free proposal and access our complete portfolio of compliance management solutions.

Solutions Offered

The experts at SpendEdge reviewed their existing compliance management framework and evaluated the compliance methodology apart from analyzing scalable risk management capabilities. This enhanced their compliance management capabilities and helped them to evaluate their existing methodologies against industry best practices and current realities within the organization.

SpendEdge’s services provided built-in and customizable workflow capabilities that allowed the creation of user-defined workflows for approvals and reviews based on the organizational hierarchy levels. They supported various statistics required in the FDA guidelines to determine if the product has been properly manufactured, distributed and stored. SpendEdge team interacted with almost 150 internal staff and external vendors representing 9 different departments and 5 manufacturing facilities (both owned and co-packing) to ensure internal compliance in the company.

Gaining a complete understanding of FDA guidelines is a must for companies to abide by the regulatory requirements.

Request a free demo and know how our experts can assist you with precise insights.

Key Findings

Streamlined issues pertaining to regulatory compliance

The compliance management solutions empowered the company to consolidate business intelligence across divisions and provide the client with global visibility into their risk and compliance initiatives. This initiative reformulated products with a Net Sales Value over $230 million and 0.9 million under budget.

Increased efficiency and collaboration

The structured compliance management framework enabled the client to challenge the status quo to simplify the reformulation process. Also, it helped in the easy flow of information among stakeholders on a regular basis, increasing the efficiency of the organization.

Why Compliance Management is Important?

Compliance management is a process that enables businesses to plan, organize, control and lead activities that ensure compliance with laws and requirements. It ensures that any business or legal action conducted by a company is within legal parameters and “appropriate” actions have been taken in order to prevent incidents. The first step in the compliance management process is risk mitigation. This includes signage disclosures and processes such as Know your Customer and Customer Identification Procedures.

The second most important reason for compliance management is litigation. It also ensures that unfavorable incidents do not occur by following regulatory compliance. For instance, if a company comes under scrutiny for money laundering, compliance management system can prove that all checks and balances were in accordance with the laws and policies.

Interested in attaining compliance management services? Get in touch with our experts today!

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