Achieving effective Spend Analysis is not easy.
Despite spend analysis being an important first step, Procurement teams often face challenges in uncovering the right level of insight from spend analysis activities because of a lack of transparency into how spend data is classified. But also, due to the challenge of dealing with poor quality, incomplete or old data.
Disparate data sources, missing or inaccurate classifications, duplicate supplier records with various spellings and a range of other issues remain a major obstacle at most companies. Poor data leads to poor strategy and poor decisions. Being confident in your spend data and trusting it goes a long way towards building a strong strategy.