Our approach is focused on delivering a significant return on investment
Founder of Novara International
Improving profitability is not only achieved by increasing sales but also by reducing the costs of doing business. Novara’s procurement outsourcing programme is designed to deliver both outcomes by radically improving purchasing performance.
This is achieved by engaging our highly professional procurement capability on behalf of clients in the markets in which we specialise. The use of our services is a key lever in transforming purchasing and supply performance in order to unlock significant savings and new value streams. All of this is achieved at zero cost to clients as Novara’s income is derived from agreed fees with suppliers. Our focus is not only on cost reduction, but also on strategic value beyond costs. We are constantly looking at transformative solutions to drive the strategic agenda for procurement.
We offer an enterprising approach to procurement outsourcing that is focused on delivering a significant return on investment. Our category management expertise leads to faster and more sustainable benefits than those normally achieved by internal resources, which are then free to focus on core activities.
How we make it happen
By analysing patterns of spend, and compliance Novara can make recommendations to improve processes, decision-making and most importantly identify new savings. We then develop strategies for individual categories and reviews and evaluates existing contracts to give clients greater visibility of what they are spending, with whom, and how effectively.
Based on the analysis of spend, Novara offers advice and recommendations on how to improve sourcing and contracting processes and methodologies. Including: supplier identification, running sourcing events supplier selection and finally the negotiation of contracts.
Once in place, contracts need managing. Not only for supplier compliance, but to ensure that potential users are fully exploiting the value of the contract arrangements. For many contracts there will be continuing ‘housekeeping’ tasks, such as maintaining product catalogues.
THE ENTIRE PROCESS
Novara can manage the entire process across a wide range of commodity groups, helping to: maximise savings, minimise risk, ensure compliance and accelerate the entire process.
By using Novara as an extension of your team to manage the mundane tasks of purchasing, it enables the client team to reallocate team members to focus on more strategic matters. Overall, and counter-intuitively, outsourcing purchasing gives the customer greater control and visibility of what they are spending. The synergies of placing, ordering, and payable processing under the umbrella of sourcing are significant. Taking an end-to-end perspective generates cash flow improvement through payment term optimisation. It reduces errors and bureaucracy from invoicing, driving improved compliance to preferred suppliers and pricing agreements, dramatically reducing the operational costs of processing teams.