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Accelerate Procurement Performance Consistently meet performance targets and drive value through procurement excellence.

Lloyd's Risk Ranking

What’s your procurement excellence strategy?

Our senior procurement and sourcing customers tell us:

Procurement executives have invested heavily in information management systems and policies to track purchasing activities, yet they increasingly struggle to manage costs and risks e�ectively.

They lack visibility into material input costs, market dependencies, and drivers of volatility which dramatically impact their supply base, resulting in overspending and wasted resources.

Not being able to understand and quantify price change throughout the supply chain can keep you from meeting your most important goals and leave the enterprise vulnerable to risk.

“We have the strategy and we know where we need to go, but we have difficulty getting there”

“We cannot a�ord to hire full-time market experts for one-o� purchases, yet our team only has the required supply market knowledge less than 20% of the time”

of CPO’s feel their teams lack the skills needed to deliver the procurement strategySource: Deloitte

has climbed from the #7 overall priority risk in 2011 to #4 today. Source: Lloyd’s Risk Index

48%

of procurement professionals believe input cost, productivity, and supply/demand analysis is critical to e�ective supplier negotiations, yet only 39% have this insight readily available Source: IHS

77%

Cost of material inputs

Typical procurement teams spend 20% more time compiling intelligence data than world-class performers.

20%Source: The Hackett Group

0 5 10Currency fluctuation

Rapid technological changes

Cost and availability of credit

Inflation

Changing legislation

Excessively strict regulation

Price of material inputs

Cyber risk

Loss of customers/cancelled orders

High taxation

IHS.com/PricingPurchasing

What if you could...…drive consistency, gain insight, maximize resources?

Consistently meet targets, foster organizational agility, and manage risk to maximize profitability

In order to move the enterprise to the next level of sourcing and procurement results globally and deliver cost savings, procurement needs guidance and insight to build and execute sourcing strategies.

The IHS advantage:

• Standardize global procurement on a single, consistent pricing platform.

• Access 500,000+ historic prices and 4,000+ forecasts, costs, and wages.

• Leverage powerful analytical tools to use IHS insight in your processes.

• Rely on recognized IHS experts to enhance capabilities of your talent.

• Quantify price change and price drivers across entire supply chains. Benchmark pricing performance to increase efficiency and visibility

• Meet and sustain cost savings targets. Foster agility and efficiency to maintain profitability when revenue is soft.

• Move the enterprise to the next level of sourcing and procurement results globally. Develop and enable procurement talent to efficiently maximize added value.

• Mitigate risk and ensure continuity of supply. Ensure credible, reliable suppliers to avoid disruption or lack of key input availability. Employ an early warning system to ensure proper back-up in cases of disruption.

• Develop and enable procurement talent to efficiently maximize added value. Enable team to manage price volatility and supply chain risk for critical commodities, understand material input and supplier costs to expand margin and performance.

We needed to lock in steel sheet prices for the coming year and IHS helped us save $10 million in one buy.

We estimate that, on average, we save our clients 1-10% of their spend. That translates to millions in savings.

“ “50%

Best-in-class organizations

are more likely to target

visibility to improve their

supply chain processes.

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What is the IHS advantage? IHS is more than just a data provider. We deliver actionable insights and a model-based frame-work for delivering value. Our team provides the most robust and accurate insight, analysis, and forecasts available on the market today.

Source: Deloitte CPO Study