I was recently asked how my firm was different compared to one client’s existing Procurement Group… an excellent question.
I responded with a question of my own. "Please tell me how you source," I asked. The manager’s response was, "We typically take requests from internal departments, obtain three quotes, and then make decisions based upon the results of those quotes." With this answer, the procurement manager told me exactly what I needed to know.
Strategic Sourcing is not just obtaining X number of competing quotes. Gathering price quotes is not very difficult and typically does not take very long to do; using Google or other major search engines enables any novice buyer to quickly find three or more potential suppliers for the required categories of products or services.
- Strategic Sourcing involves an analysis of category spending.
- A procurement professional should develop a detailed spend diagram. This detail will enable analysis of a given spend category to go much deeper than how much money you spent with a particular supplier.
- Strategic Sourcing requires in-depth market research. An adequate search for potential suppliers demands more than just a Google search; it involves understanding the industry and marketplace in which you are in.
Sourcing Business Solutions applies its proven strategic sourcing methodology to capture above-average savings. Recent successes include:
- Saving a Fortune 100 company over 20% on MRO items
- Saving a large industrial manufacturer over 30% on their construction-contingent labor
Additional reasons to choose Sourcing Business Solutions
- We benchmark costs with many companies outside of your company. So when you think you received a great deal at your company, if you are only comparing those results to the other supplier quotes that you received, you might be shortchanging yourself.
- By having marketplace knowledge of supplier cost structures and prices paid by other buyer companies, we can obtain for you the overall best value at the lowest total cost of ownership (TCO). We are looking out for you over the long term by evaluating TCO.
- We have 20+ years of experience across multiple industries and various cost categories.
Experience by commodity/ spend category
We have years of experience in sourcing spend categories such as:
I.T., capital items
- I.T. hardware: PCs, servers, routers, etc.
- Tractor trailers
- Office equipment: Printers, copiers, etc.
- Wireless handheld equipment
- Office safes
- Construction tanks
- LED signs, lighting
Food, marketing, & retail items
- Coffee roasters, packaged coffee, cappuccino
- Beverage coolers
- CO2 beverage service items
- Restaurant wares
- Paper cups
- Plastic gift cards
- Motor oil
- Washer fluid
- Shop towels
We have significant experience in importing and exporting, including all necessary customs compliance functions re: countries including Canada, Mexico, China, India, & Pakistan.
- Textiles: Towels, washcloths, etc.
- Toothpaste (FDA compliance)
- Container shipment sourcing
- Freight In/ freight out logistics
- Promotional items
- eProcurement implementation
- Demand management
- Web-based reverse auction bids using Ariba software
- Purchasing card programs
- Small package shipping: FedEx,UPS
- LTL transportation costs
- Printing services
- Business cards
- Jet fuel
- Office supplies: Toner, paper rolls, etc.
- Legal fees
- Accounting & audit services
- Shred service
- Cleaning service
- Travel services: Car rental, hotel, airfare expenses
- Group meetings, conferences
- Uniforms, clothing
- Recycling: Cardboard, aluminum, plastic, paper, etc.
- Professional service firms
- Telecom services: Long distance, local, wireless, conferencing costs
- Propane service
- Fire inspection service
- 3rd party utility, telecom bill-pay services
- Pest control services
- Armored car service
- Computer monitors
- Consolidated buying groups
- Document storage
- H/R &benefits expenses
- Employee verification services
- Unemployment claim verification services
- Employee relocation expenses
- Work opportunity tax credits
- Background check services
- Temporary labor
Janitorial & industrial supplies
- Paper towels, toilet paper
- Can liners, trash bags
- Chemicals, soap
- Vinyl gloves
- Safety items
- First aid, medical supply items
- Ice bags
- Merchandise bags
- Air filters
Facility services & maintenance
- Lawn care
- Grounds maintenance
- Snow removal
- Energy rates & deregulated buying (electricity, natural gas)
- Trash services
- Cooking oil services
- Printer repair
- Security guard services
- Storage container leases
Our average savings exceed 12% per Strategic Sourcing event. The savings we bring to our clients typically represent over 5x the fees we charge.
Contact Bryan Eaves at Sourcing Business Solutions today by calling 865.805.4356 or emailing bryan [at] bryaneaves [dot] com.
 MRO (Maintenance, Repair, & Operations)
Used in production and plant maintenance; examples include maintenance supplies, spare parts, consumables used in production processes; can be either valuated or non-valuated; depending on value of items, physical inventory may or may not be performed; for more on MRO, see Resources section below