The client wanted to define the process for price negotiations with the national vendors making sure the decisions were data driven and based on facts not just based on heuristics. This to find the best price for acquiring the raw material and revisit the price at the right time based on the fluctuation in costs of the components of the bill of material. The manual process of renegotiating was not efficient and didn’t yield the best rates possible. Automating the process would make it faster, repeatable more frequently and based on data insights.
The client was able to negotiate better prices for the raw material and re-negotiate the price when the raw material costs fluctuated, this ended up in 3% average savings for procurement
