Case Study
Enfield Council
The Challenge
Tackle Tail Spend
The London Borough of Enfield is a 3 Star Council based in North London with over 300,000 residents. The Council’s SAP platform was not deemed suitable for handling low vale transactions, often referred to as ‘tail spend’ and represented approximately 20% of total expenditure. It was a significant and complex challenge due to the large volume of manual transactions, range of specification options, short deadlines, and quantity of suppliers. Enfield decided to proactively transform their procurement by deploying a cloud-based procurement platform designed for tail spend. They selected Claritum.The Solution
Claritum
Claritum was selected as it was the most user friendly, capable, and cost-effective solution, with the flexibility to meet the wide variety of requirements. Plus, it could readily integrate into SAP financials, ensuring a seamless operation with the organisations other processes. A key challenge set was that tendered or historical prices from external suppliers were not to be exceeded, so the software had to allow buyers to compare spot prices and request-for-quote responses with the historical or baseline prices. It was quickly apparent that whilst initially suppliers were tempted to push prices up, Claritum ensured that buyers always had the opportunity to buy from contract rates or take advantage of available capacity in the market and buy on a spot rate. Instant and ongoing savings were made and could be reported to management via management reports created on the Claritum Solution. Suppliers adopted the system quickly, taking benefit from the speed and efficiency with which they could now interact with the council. Plus, the Council’s internal customers saw immediate benefits of better prices, ease of interaction with suppliers and simpler processing of orders.RESULTS
Increased Efficiencies and Savings
Enfield are seeing the benefits of increased efficiencies and savings, and initially cut the Council expenditure by 17%-20%. The time taken to specify and gain prices, either via contract prices or RFQ, from approved suppliers has been significantly reduced, and the print team has total transparency of the prices quoted.
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ERP Integrations
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Cost Savings
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Products Benchmarked
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Fewer Suppliers
