Announcement
Benchmarking the Cost of Procurement as a Percentage of Spend
Benchmarking procurement cost as a percentage of spend helps companies understand their overall costs to run the procurement organization, including labor, outsourcing, technology, and other costs. However, benchmarking is not in itself a solution; rather, it is a systematic discovery of best practices and a stepping stone to innovative, continuous process transformation. By comparing process performance to that of other companies’ procurement organizations, problem areas can be identified, letting procurement leaders set new targets and recalibrate operations to achieve better results.