While procurement and supply chain managers understand that supplier performance management leads to an increase in the value of the goods and services received, most companies do not broadly manage supplier performance due to the labor effort involved.
Across a large supply base, this lost value works out to a few percentage points of a multi-billion dollar spend. The proliferation of eSourcing tools has increased companies’ abilities to systematically secure advantageous terms and conditions from their suppliers. However, without appropriate performance management programs, companies cannot fully monetize these agreements.
Hiperos delivers integrated Performance Management solutions that allow companies to pro-actively and collaboratively ensure that their 3rd parties adhere to or exceed the agreed upon Service Level Agreements (SLA’s) and Key Performance Indicators (KPI’s).
This capability is not limited to Corporate Procurement; it is quite common for IT, Real Estate, Marketing, Legal and other major spend areas in an organization to leverage Hiperos Performance Management to understand the impact on their specific programs.