Electrical Supplies Strategic Sourcing

Electrical Supplies Cost Reduction Support from Corcentric Procurement and Strategic Sourcing team.

Corcentric’s MRO Strategic Sourcing experts empower organizations to optimize their Electrical Supplies spend.

Comprised of wiring, cables, fuses, electrical distribution equipment, lighting supplies, industrial automation supplies, and all other ancillary electrical hardware, the Electrical Supplies sub-category is a diverse and critical component of any organization’s MRO spend.

Strategic Sourcing initiatives in the Electrical Supplies category are typically complicated by category overlap. Depending on your organization’s industry, these purchases might straddle the line between MRO and Facilities Management. Additionally, purchases within the Electrical Supplies category include a blend of both direct and indirect materials.

That’s just the tip of the iceberg for companies looking to get a better handle on their Electrical Supplies spend.

Challenges of Electrical Supplies Strategic Sourcing

For Procurement professionals, conducting a Strategic Sourcing initiative in the Electrical Supplies category generally means contending with category overlap,  decentralized purchasing structures, and a lack of standardization across sites.  Organizations that have historically taken a hands-off approach to MRO spend or pursued inefficient quick-win opportunities will find it even more challenging to promote efficiency and meet their MRO cost reduction goals.

In the Electrical Supplies category, the market for substitutes is sometimes less robust than within other MRO spend areas. The overwhelming number of niche Electrical Supplies providers can make it challenging for Procurement teams to develop an optimal supplier mix. Organizations that operate multiple sites tend to decentralize their approach to Electrical Supplies Strategic Sourcing. As a result, they fail to effectively leverage spend throughout the category and suffer the consequences of poor standardization. Few organizations possess the expertise necessary to negotiate a better price through their Electrical Supplies providers’ distribution networks. Though Electrical Supplies often represent a large portion of annual MRO spend, recurring purchases are rare. Organizations simply are not used to conducting Strategic Sourcing initiatives in the category.

Electrical Supplies Strategic Sourcing with Corcentric

Our strategic sourcing specialists have spent years developing custom Electrical Supplies programs for our clients. Armed with a wealth of market intelligence, we empower our clients to achieve the maximum possible value from their Electrical Supplies suppliers.  Providing for both Strategic Sourcing program optimization and Electrical Supplies vendor consolidation initiatives, we realize an average of 7-10% spend within the category.