Procurement services
We provide specialist procurement and supply chain management services to the energy industry, with a particular focus on non-strategic spending. When effectively managed, this can lead to significant product and transactional cost savings.
Strengths of this service
We offer a wide range of purchasing services, including managing your invoice settlement or procure-to-pay and source-to-pay processes.
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Our team will work closely with you to manage your entire spend effectively. This approach is particularly useful when resources are limited
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Where required, we can manage urgent deliveries for clients – buying and expediting the goods as quickly as possible
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We have a local procurement network that understands the needs of our customers and can react to inquiries within a short timeframe
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Strong relationships with suppliers means our customers benefit from the best possible purchase deals
Our Procurement Teams are purchasing and tail spend management specialists. They work with you as an extension of your procurement team.
The model
Pain points come from having to spend time, money and resource procuring and managing hundreds of individual low value suppliers. The 80:20 way allocates resources in the most effective manner, so a specialist company can focus on low value spend while a client focuses on higher value strategic procurement activities.
Developed from the Pareto Principle, the 80:20 model introduced a concept allowing clients to manage 100% of spend by aligning resources to strategic commodities and developing a partnership with 80:20 as an outsourced provider.
Managing tail spend
Tail spend can account for up to 20% of a company’s procurement activity that usually goes unmanaged due to the large number of low-value ad-hoc transactions spread across many suppliers.
This relatively small part of the purchasing spend expenditure has a huge impact on a purchasing team volume. Many of the products are typically purchased from non-contracted suppliers and consist of varying and often unnegotiated terms. Due to the item value, they result in a large volume of transactions and vendors per year, which are either too small to go through the strategic spend or are not part of an existing framework of contract catalogues. This means that it is often difficult for companies to get insight into these low-value, low-risk expenditures.
By partnering with 80:20, our clients benefit from cost savings up to 32% across their tail spend and have more time to focus on high-value strategic purchases.
Products we source
We source a wide range of products for our clients and can accommodate most requests. Typical items include general consumables, fasteners and stud bolts, and hand tools and power tools, as well as PPE and industrial equipment, stationery, and electrical equipment.
Industries we support
Our advanced global supply chain and market-leading procurement technology allows us to manage the tail-end of any organization’s supply chain. We currently provide procurement services across a number of industries, such as:
- Nuclear
- Automotive
- Manufacturing & fabrication
- Oil & gas
- Renewable energy
Related services
How can we help you?
Are you looking for an quotation or do you have a question? Please let us know! We are glad to be of help or inform you of our services.