Building a Cost-Efficient Procurement Technology Contract

Read how Gartner helped sourcing & procurement leaders at an American paper & forest product manufacturer build a cost-efficient procurement technology contract.

Mission-critical priority

The Global Process Lead for the Sourcing CoE and the Planning Manager at an American paper & forest product manufacturer turned to Gartner for help during the contracting process with a procurement technology provider. Gartner research & advisory support helped the company achieve $240,000 in hard savings and approximately $1,000,000 in cost avoidance.

How Gartner helped

The client used:

  • Gartner’s contract review service in which a technology expert from Gartner dissects a technology contract ahead of negotiations to identify any cost-cutting or incentive opportunities.
  • Objective, research-based recommendations on technology pricing.
  • Tips & tricks from a Gartner analyst for successfully navigating negotiations with a technology provider.

Business impact

With support from Gartner for Supply Chain, the client:

  • Achieved $240,000 in hard savings and approximately $1,000,000 in cost avoidance thanks to Gartner research & advisory support.
  • Identified technology modules that the company was paying for but not obtaining any value from.
  • Accelerated timelines: After just two months the Gartner analyst had completed the contract review and held negotiation strategy sessions with the client.

Paper & Forest Product Manufacturing

+ 10,000

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