IBS DEALS – SUPPLIER NEGOTIATION OPTIMIZATION
One of the greatest opportunities for profit improvement in retail organizations today is optimizing the supplier deal negotiations. Better buying requires optimizing negotiations and having access to the accurate deals and supplier performance information to ensure sales and margin. As purchasing and associated supplier negotiations get more complex, it becomes more and more difficult to identify the best suppliers and choose the appropriate strategies that maximize financial returns.
all aspects of a deal in order to evaluate the profitability impact of all the various scenarios. They need to gain insight on category performance, profitability and supplier performance in order to adjust their negotiation target and strategies.
Profits can be positively impacted through improvements in deal funds usage and collection. However Recent studies indicate that two out of three retailers fail to collect all their negotiated deal funds, leaving up to $30 billion on the table each year. A major contributing factor to the problem of uncollected funds is the complexity of the deals. Many retailers manage supplier deal funds without the benefit of formal systems, processes and controls. As a result, Buyers and Category Managers do not receive the information they need in order to collect what they have negotiated.
“GAIN INSIGHT ON CATEGORY PERFORMANCE, PROFITABILITY AND SUPPLIER PERFORMANCE TO ADJUST NEGOTIATION TARGET
Retailers are pressured to improve deal management systems and controls in order to increase their collection rate and comply with regulatory requirements. Key considerations when selecting a deal negotiation system include the system's flexibility to integrate different deal types, down to the item and store level on one side and up to multi-country, multi-level negotiations on the other side.
ibs Deals, offered by Soft Solutions is the only business solution software for supplier negotiation and deal management that has been proven in Tier 1 retailers such as Carrefour, B&Q, Auchan, Metro, Galeries Lafayette, Mosmart, O'key, Kingfisher, FNAC, Monoprix,… This solution can be deployed to manage a wide range of retail formats including hypermarkets & supermarkets, department stores, specialty stores and e-tailors.
The Benefits and added value of ibs Deals are the following:
- Involvement of all role-players within a negotiation process
- Harmonization of negotiations' best practices.
- Impacts on strategy
- The conversion to purchasing strategies
- Multiple analysis and reporting tools
- Negotiation performance follow-up.
“FOLLOW UP AND PERFORMANCE OF SUPPLIER NEGOTIATION”
ibs Deals to face frequent problems encountered in mono and multi organizations companies.
ibs Deals to optimize suppliers funding negotiation and contracts follow-up.
ibs Deals to provide a complete solution with business-oriented processes.
ibs Deals is a modular and configurable stand which supports supplier negotiation preparation and follow-up. It allows a strategic and consolidated view of negotiations in order to improve negotiated conditions.
ibs Deals reduces the time taken to perform administrative tasks in order to concentrate on stronger "added value" tasks.
A library of Key Performance Indicators is also avaialble to enable instant visibility on the needed information (turnovers, margins, quantities, …), and decision-making (corrective actions). Strategic milestones like contracts management, edition or signature are controlled by an embedded workflow and a precised validation cycle.
ibs Deals automates and facilitates retailer's purchasing, best practices, for all the players of the negotiation process.
“A STRATEGIC AND PROFITABILITY-ORIENTED TOOL”
At the Birmingham Retail Solutions Show, 2003 in the UK, the partnership of Soft Solutions and Group Louis Delhaize was recognized as the «Retailer/Supplier Partnership of the Year».