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Purchasing and Supplier Analysis
Purchasing and Supplier Analysis
Supplier spending can be divided into two areas: Direct spending and Indirect spending. Indirect expenditure includes the purchase of goods and services that are not directly involved in production processes but are nevertheless important for the operation of administrative offices and all non-production functions of the company (e.g. Marketing, HR, etc.).
A procurement strategy requires tools that can automate processes but also software and blueprints to control spending and select the best suppliers
Hibi Expertise
HiBI has developed reports and ETL (extraction, transformation, loading) programs using various software to bring together supplier spending (i.e. paid invoices) with accounting i.e. Income Statement and Balance Sheet.
The split between capitalized expenses (CAPEX) and operating expenses (OPEX) is a common request. But being able to indicate where each invoice should be categorized is a complex task for many purchasing managers.
The split between capitalized expenses (CAPEX) and operating expenses (OPEX) is a common request. But being able to indicate where each invoice should be categorized is a complex task for many purchasing managers.
In these examples, a more detailed breakdown of spending is then used to identify departments and cost centers and their impact as a percentage of total spending.
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