June 7, 2022
Gain complete control and visibility over all your spend with Jaggaer One.
Do you know what is the most important requirement to run any business – it’s spending money. While running a business, expenses come in all shapes and forms. A company is required to spend money on a wide range of expenses, from advertising to supplier contracts to employee salaries, and so on. These expenditures are not the same for all companies. They vary depending on the type of the business and the size of the business among other factors. Therefore, a company must take into account how it spends money. And this is where the role of spend management comes in.
What is spend management?
In simple words, spend management is an ongoing process that improves the way a company spends its money. Ideally, an effective spend management strategy enables the management team to take control of their expenses, optimize supplier relationships, and maximize the ROI of every dollar they spend. It helps them track, control, analyze, and optimize the overall spending of the company with the goal to decrease costs and increase efficiencies. A good spend management system provides real-time data and analytics which give insight you need to save money and gain efficiency.
Why is spend management important?
To put it simply, inefficient spend management can be disastrous for any business; as in most of external spending comprises the lion’s share of 40-80% of a company’s total cost.
Without having transparency and control over company’s spending for a long period of time, companies may face the brunt of financial leaks and loss of revenue. Thus, smart businesses use Spend Management software to mitigate this risk. There’s much more to the solution than meets the eye. It can help the finance teams to identify where exactly the company is losing money and where they can optimize spending habits, reduce risks, and streamline cash flow.
Let’s understand this with an example of our personal finances. At some point in time, we all have used some sort of spend management to control and optimize our expenses. On average, monthly household expenses include groceries, bills, tuition fees, etc. Usually, we keep a check on our credit card bills and monitor our spend data. This enables us to identify trends and keep track of how much money is going out, and at what time. This allows us to budget accordingly and ensure that there are sufficient funds available at the correct times. It clearly suggests that personal spend management helps us spend our living in a more organized way.
Similarly, companies need spend management to manage their business and improve their financial bottom-line. By leveraging real-time analytics and insights, a good Spend Management solution can help companies drive better decisions, create value, and decrease costs.
Spend Management by Jaggaer One
Jaggaer One is a one-stop-shop for procurement solution that helps you intelligently source your entire supply chain or procurement process. And an important part of Jaggaer One is Spend Management that is a comprehensive suite to help you manage, track and analyze all your data on one platform. For over two decades, Jaggaer has pioneered spend solutions and continues to lead the innovation curve.
The Spend Management platform by Jaggaer One is designed to offer intelligence, flexibility, and the breadth and depth you need to succeed on your journey to spend management excellence. It lets you identify gaps and helps you ensure better decision-making by comparing price variations across similar goods and services. Moreover, it also keeps you updated about where your employees are buying outside of your preferred channels.
Jaggaer is the world’s largest independent spend management company, with over 2000 customers connected to a network of 3.7 million suppliers in 70 countries, served by offices located in North America, Latin America, throughout Europe, the United Kingdom, Australia, Asia, and the Middle East. The solution suites by Jaggaer are trusted by the world’s largest manufacturing, education, health care, retail, consumer packaged goods, logistics, construction, utility companies and public service organizations.
Ten ways how Jaggaer Spend Management is beneficial for businesses:
- All spend under one platform: Manage direct and indirect spends all in one intelligent software system. It helps you process, analyze and enrich multiple sources of data. Thanks to machine learning and automated algorithm that speed up the complicated process while simplifying any manual adjustments.
- 100% spend management: Get visibility to where each and every dollar of the company goes. Whether it’s the first spend analysis or the hundredth, make sure that it’s a success. Jaggaer One Spend Management platform lets you use key performance indicators (KPIs) to quantify your success. With intuitive analysis and interpretation, you can turn your data into a powerhouse of information and insight. For a successful spend analysis, it is very important to gain visibility. After all, you can’t save what you can’t see.
- State-of-the-art Architecture: Here’s a platform that is easy to execute, and offers a plug-and-play environment for users. While leveraging a variety of useful features, it supports your company’s spend management and strategies at all levels
- Better risk management: Jaggaer One is an end-to-end spend management solution. It provides the means to assess the market, identify risk factors, and develop plans for navigating around them before they occur and well into the future.
- Unified Spend Data: A big challenge associated with spend analytics is gathering all of your spend data from a variety of sources in a common format that facilitates timely analysis. With best data practices and analysis, JAGGAER is able to manage the acquisition, validation, and transformation of all of your spend data for you. With flexible extract and data requirements, JAGGAER can pull a blend of multiple data sources and types into one place. JAGGAER transforms data using automated validation, structured cleansing, and supplier normalization bringing disparate source systems into a unified display.
- Intelligent Classification: Intelligent Classification and Enrichment JAGGAER’s Intelliclass functionality steps users through a process of performing automatic classification and enrichment of data by applying heuristic and natural language processing algorithms. Using a global knowledge base combined with your own data patterns, Intelliclass makes recommendations that you can convert to reusable classification rules. The entire process and results are all available in the Data Enrichment Manager allowing users to track results, review recommendations, build custom rule sets on the fly, and directly manage categories.
- Quick Analysis for Maximum Versatility: Once your data is organized into relevant categories, you’re ready to start analyzing. The credible data you gather in your spend analysis can be used to implement a process roadmap and transform your procurement process from technical to strategic sourcing. Not only this will help you identify trends but also verify that you are leveraging supplier data to get competitive pricing. This aggregated spend information can be used to comprehend the details of your spend, as to where it is going and who it is with.
- Proven Enrichment Technology: With a-class machine learning techniques, get cleansed structured, automated data validation. Intelliclass machine learning also helps in consolidating supplier normalization, and a blended AI approach can be used for manual adjustments
- Reduced Costs: With the automated processes of Jaggaer One Spend Analytics, the invoicing costs get significantly reduced. On the other hand, the platform aims to reduce maverick spend and merge low value spend with better-negotiated contracts
Conclusion
While Spend management is important for large enterprises that have large amounts of expenses, it is also valuable for SMBs who are aiming for scalability, sustainability, and profitability. Irrespective of the size of the business, the JAGGAER ONE platform is the foundation for all JAGGAER spend management solutions. Get a flexible and future-ready solution with all your data, processes, and transactions in a single platform. Moreover, intelligent techniques of the platform are an integral advantage that helps analyze data. Additionally, the spend management solution can help you with:
- Efficient budget management
- Eliminating out-of-policy and fraudulent spending
- Real-time control over company-wide spending
- In-depth analytics for all spending
- Easy tracking and processing of payables
Oman Data Park supports organizations in achieving success and making business data a valued asset. With a team of seasoned spend management experts, it ensures a quality, result-driven spend management strategy for your business. As an all-in-one spend management platform, Jaggaer One Spend Management by Oman Data Park offers:
- Expert Assistance: spend analysis, category management, execution support and more
- Advisory Services: support in areas like technology selection and staffing and recruiting
- Technology: world-class solutions that free Finance and AP from the burden of paper-bound processes
- Managed Services: long-term, hands-on support to ensure supplier relationships remain valuable and processes stay efficient
- Unified Dashboard: Let the finance team be always on top of where money flows. A unified all-inclusive dashboard helps them make better data-driven decisions to help your business scale!
With Jaggaer One Spend Management solution, get full visibility into your organizational spend, identify new revenue opportunities and strengthen your overall supply chain. With intelligent and fact-based data, your team can ensure compliance, improve decision-making, and focus on those areas that may have been overlooked before. Overall, increase both savings and efficiencies across the board while reducing spend in more places.
Ready to dive deeper in the world of spend management, reach out to us via phone at +968 2417 1111 | +968 24171195 or email support@omandatapark.com |sales@omandatapark.com
