We quickly and tangibly improve our clients’ purchasing performance.
The quality of companies’ procurement activities directly affects its profitability and operational flexibility.
Based on the requirements of the business, each sourcing event must appropriately balance timeliness, cost, and contractual flexibility. Drawing upon Pace Harmon’s strong Supply Chain Management (SCM) capabilities, we improve our clients’ purchasing outcomes by driving favorable vendor results in the areas of price, contractual terms, responsiveness, and flexibility.
Our Strategic Sourcing services include:
- Performing holistic vendor and category spend analysis to identify prioritized consolidation and strategic sourcing opportunities
- Benchmarking and reviewing of sourcing categories to develop a sourcing strategy that focuses on addressing specific deficiencies in a timely and effective manner. Strategies may include incumbent renegotiation, term sheet, Requests for Quote (RFQ), Requests for Proposal (RFP) and/or reverse/forward auctions.
- Gathering requirements from business stakeholders, collaboratively determining the sourcing strategy, and drafting Requests for Information (RFIs), RFPs, and/or RFQs that comprehensively outline the requirements and position the opportunity attractively to the potential bidders
- End-to-end management of the competitive procurement process, including bidders conference, vendor Q&A, managing the integrity of the flow of information between client and vendor(s), and staging and executing online sourcing events
- Evaluating vendor proposals by normalizing the analysis of offerings (enabling “apples to apples” comparisons) across technical, operational, business, and financial dimensions
- Managing term sheet negotiations and the down-selection process, including best and final phases and pre-negotiations, followed by leading and/or participating in contract negotiations with selected vendor(s), sitting side by side with our clients and their internal or retained legal resources
We support our clients in establishing and embedding best-in-class sourcing processes and practices.
Pace Harmon helps clients improve their sourcing capabilities by maximizing buying power, providing visibility into enterprise-wide spend patterns and mitigating risks associated with sub-optimal or misaligned vendor agreements.
Our approach includes:
- Identifying business issues through a comprehensive current state assessment that includes: existing policy review, process analysis, stakeholder interviews, comparison to best practices and market trends, and term/price benchmarking for key categories
- Delivering recommendations for improvement to policies, processes, systems, organizations, and interfaces between internal departments to improve identified issues
- Developing comprehensive financial analyses to support recommendations and to clearly identify long-term the financial impact
- Conducting future-state workshop facilitation with stakeholders, working with procurement and business leaders to champion change, and to balance overall business and individual stakeholder concerns
- Documenting training, policy, process, and system changes and developing corporate-wide implementation plans
- Implementing on-going vendor governance to provide a mechanism to track vendor performance metrics and incentivize continuous improvement
Our comprehensive category expertise ensures that we can drive financial and operational savings across multiple spend categories.
Pace Harmon’s category experience is extensive, including IT hardware (desktops, servers, network equipment), enterprise telecommunications and wireless, applications and software, development services, and a wide range of other commodities. Our experienced practitioners, distilled best practices, and comprehensive toolsets enable us to dramatically improve our clients strategic sourcing results – whether supporting isolated strategic sourcing programs or assisting our clients in improving the performance of its internal procurement performance.