HCL's Service Offering
Full-service Consulting
Quick and easy implementation of Spend management without a significant
upfront software investment and a potentially lengthy and expensive
implementation
Quick and positive ROI through a “pay as you go” process –ensuring that
benefits justify the cost before investing in that phase of the project
Data CleansingContent cleansing and normalization services include formatting data so that attributes such as Product, Brand Name, Manufacturer's Name, Part Number etc. are standardized throughout the data set.
Data CodificationData Classification services under UNSPSC & EAN and any proprietary schema as required.
Data EnrichmentSource additional information from supplier or manufacturer websites and contacting them for catalogs and other available sources of information. Enhancing and enriching the limited data available from your suppliers / manufacturers will help in evolving a database of products / items that has structured and consistent data-rich content that can have wider usability
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The ability to quickly access, organize and analyze Spend Data is key to your Global Sourcing program's success. Access to timely, accurate, complete, and detailed
Spend Data offers invaluable intelligence on spending patterns, compliance, performance ratings, inventory status, and part attributes. This insight is essential to
identify saving opportunities as well as developing, sourcing, budgeting, planning, and enable your sourcing organization to gain complete visibility. Lack of visibility
across geographies, suppliers and commodities affects your ability to reduce Spend and improve efficiency.
Optimize Spend!
Typical Bottlenecks
�Disparate data – typically spread across many systems are hard to validate or roll up for summary views across suppliers, categories or business groups
�Inconsistent identification of purchased items – difficult to assess total spend by product or category
�Huge volumes of data – too large to aggregate across the enterprise and resides on databases that can't scale to support complex global organizations
�Budget and resource – constraints in allocation of budget for Spend Analysis tool licenses and access to qualified analytics professionals with Supply Chain exposure.
How HCL provides visibility
Aggregates global spend data by
standardizing data with international
standards or self-created schemas
Uses global codification systems such as
UNSPSC & EAN for advanced data mapping
Identifies inconsistencies such as duplicate
vendors, unclassified materials and
inconsistent category codes, and harmonizes
the same
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HCL's Methodology�Extract all Spend data from data sources based on Client
implemented systems
�Check and validate the accuracy of the Spend data files
�Slice 'n' Dice Spend data based on Category, Commodity, Sub Commodity and Region
�Identify the objectives of the report and focus on key elements
�Provide detailed information that would enable to achieve business goals
�Build report formats for adhoc reports
�Analyze and evaluate complex requirements of the report and use appropriate methodology to produce the report
�Provide reports to Client based on business rules and highlighted deviations
�P r o v i d e a d d i t i o n a l synopsis depending on objectives of the report
ADVANTAGES
�Audit existing Spend Data management capabilities
�Access all spend data sources within and outside the enterprise
�Adopt a common classification schema enterprise wide
�Establish efficient and enforceable data cleansing and classification capabilities through the use of software or services
�Augment category expertise to ensure data classification, accuracy and validation
�Classify spending at a detailed level
�Enhance core spend data with vital business intelligence
�Increase frequency and coverage of spending analysis
�Utilize advanced reporting and decision support tools
�Continuously expand usage and scope of spend data management program
BENEFITS
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�Over 85% of Spend Data aggregated, classified and analyzed regularly
�Obtained clear view of spend patterns across the category, department, location
�Ability to see accurate spend information at the aggregate and line item level
�Rapidly identified time-sensitive savings opportunities
�Supplier price / cost performance monitoring
�Enhanced financial and business reporting & analysis
�Elimination of duplicate suppliers
�Cut excess stocks, lowered inventory costs, and reduced expediting cost
�Unnecessary part introductions cu
Spend analysis project cycles reduced typically by 30% to 50%
Metrics
Results
§Reduced spend analysis project cycles typically by 30% to 50%
§Obtained clear view of spend patterns across the category, department, location
§Consolidated and normalized data, categorization based on one uniform taxonomy
§Ability to see accurate spend information at the aggregate and line item level
§Rapidly identify time-sensitive savings opportunities & reduce maverick spend
§Enhanced financial and business reporting & analysis
Before Outsourcing After Outsourcing
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Parameters
USD 1.2 billion USD 2.1 billion
12% 2%
13
Manual
8
60%
Total Spend Captured
Unclassified Spend
Reports Generated
Classification
Business Units Supported
Accuracy of Classified Spend
Semi-Automated
57
97%
Tools/Application Used
Customized Business Applications
§Web MSR – Centralized Web based spend reporting system
3rd Party Tools
§DNBi Supply-base Manager
§Mekko Graphics
US based Fortune Technology and Manufacturing Company
The Client is an industry leader in providing world-class capabilities in the Safety and Security markets. Through their portfolio of market-leading brands, they deliver a full-range of solutions to a diverse customer-base around the world.
From the patent of detectors to the development of wireless detectors, the Client has a rich history with innovations. The Client is a USD 5.7 billion company with over 50,000 employees serving customers in 30 countries, with yearly growth of 11.7 percent.
Drivers for Outsourcing
§Enabling better spend data visibility and management
§Aggregating of spend data dispersed across multiple legacy and ERP systems
§Monitoring cost-reduction Projects on project basis cost effectively
§Data Harmonization and enrichment
Tenure
§Since April 2006. Current FTEs: 7
Scope of Services
§Spend Data Management
§Data Cleansing
§Data Classification and Codification
§Supplier Grouping and Rationalization
§Strategic Decision Support
§Field Data Management
Case Study
Hello, I’m from HCL! We work behind the scenes, helping our customers to shift paradigms and start revolutions. We use digital engineering to build superhuman capabilities. We make sure that the rate of progress far exceeds the price. And right now, 90,000 of us bright sparks are busy developing solutions for 500 customers in 31 countries across the world. How can I help you?
Contact Us:[email protected]
Please visit us : www.hcltech.com www.hclbpo.com
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