As part of a purchasing development programme, transparency was created in control and reporting in purchasing and focussed on KPIs and essential reports. Evidence was increased through targeted reporting and departmental reporting of essential control volumes.
Challenge
Blurred lines of responsibility, lack of regulation and superfluous purchasing reports (over 100).
- Goal: establish KPIs, reports, responsibilities and report recipients
Service
I. Status quo
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Conducting of employee survey to identify optimisation potential
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Identification of expectations of stakeholders
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Analysis of data quality and availability
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Review of the target/actual situation to identify need for action
II. Target derivation
- Identification of target reports
- Reconcilement with standard KPIs
- Creation of framework conditions
- Specification of technical requirements
III. Implementation and communication
- Ensuring data delivery and data quality
Key data
- Duration: 6 months
- Scope of brief: 60 FTE
- Sector: German financial services provider
- Company size: 19,000 employees
Results
- Capture of existing reports (purchasing/cost management)
- Standardisation of reporting (establishing statistical basis, capture rules)
- Definition of three essential KPIs: invoicing, ordering and savings
- Creation of KPI briefs (definitions for formula, sources, format, time frame, accountabilities for delivery and generation, recipients and notes)
- Design of a central cost type report for the board
Summary
Increasing evidence by:
- Targeted management reporting
- Departmental reporting with essential control volumes
