Identify Hidden Value in Your Cost Base
An opportunity assessment is our opportunity to run a diagnostic of your cost base.
The average business spends around 70% of its revenue on suppliers. But in today’s fast-paced environment, it can be hard to ensure that suppliers are consistently delivering in line with business needs and that costs are optimised. For most businesses, this insight provides an immediate and material opportunity to deliver value. After all, our strapline is Value Through Insight™.
One tool we use that turns data into opportunity, is SpendVue.
SpendVue™ is a data visualization tool developed by ERA Group. Utilizing SpendVue™, ERA’s consultants show organizations their spending in a new way by identifying clear, actionable areas for cash flow improvement hidden in your financial data. Combined with your financial data, SpendVue™ enables you to see your data through our unique lens – giving you the power to interact with your data like never before.
Register for an Opportunity Assessment
We provide a detailed analysis of your supplier data, whether it be spend data, performance data, billing accuracy/frequency and customer feedback to uncover opportunities to not only uncover business cost savings, but increase supplier value and improve working practices.
• Expert insights that challenge the way things are done today
• Fast, actionable ideas for how to transform supplier costs
• A platform for strategic procurement and a plan to deliver the value
Uncover Hidden Value for Your Organisation – Register Today!
Unlock Financial Data Insights for Your Organisation
The benefits of undergoing an ERA Group Opportunity Assessment
- Strategic Decision Making: Opportunity assessments provide insights that guide leadership in making informed, data-driven decisions about where to allocate resources, focus efforts, and invest in the future. Our cost efficiency consulting helps align the company’s strategies with its long-term goals.
- Cost Optimisation: By evaluating current processes and identifying inefficiencies, an opportunity assessment can reveal cost reduction strategies which streamline operations and achieve business cost improvement.
- Identifying Growth Areas: It allows companies to discover untapped markets, new revenue streams, or innovative product offerings that can fuel growth.
- Risk Mitigation: Assessing opportunities and challenges enables companies to foresee potential risks, reduce uncertainties, and take preventive measures to avoid setbacks.
- Competitive Advantage: Understanding where a company can outperform competitors or differentiate itself allows it to leverage its strengths and build a sustainable competitive edge.
- Performance Improvement: By reviewing current practices and performance metrics, the company can optimise workflows, improve productivity, and enhance overall operational efficiency.
- Stakeholder Alignment: The assessment helps align internal teams, management, and stakeholders on strategic priorities, fostering a unified approach to achieving business goals.
- Resource Allocation: Our spend analysis ensures that a company is not over-investing in areas that are not yielding returns and instead directs capital and human resources to more promising opportunities.
- Actionable Insights: The opportunity assessment process often includes clear, actionable steps, making it easier for businesses to translate financial data insights into concrete actions that improve performance.
How we helped a trade bathroom installer optimise non-core expenditures
Challenge:
The client wanted to optimise non-core expenditures to generate cash savings without compromising on quality. The goal was to gain better visibility and control over their spend while supporting business growth.
Solution:
ERA Group performed a comprehensive analysis of the client‘s expenditure, identifying both addressable and non-addressable spend. A recommendation was provided to focused on categories with high savings potential and low operational impact.
Spend Identified:
£3,887,125.15 in addressable spend was identified across key categories (such as logistics and recruitment).
Opportunity:
Potential savings of £494,134 were identified across the categories analysed. Specific savings included:
- £196,390 from logistics and related services (Annual Spend: £1,458,870)
- £45,960 from recruitment (Annual Spend: £139,273)
- £251,782 from five other categories (Annual Spend: £2,106,579)
How we helped a client unlock over £16 million in savings
Challenge:
The client sought to optimise their overall expenditure. They needed to consolidate spend categories and identify savings opportunities across multiple areas while improving efficiency and maintaining operational impact.
Solution:
ERA Group conducted a thorough analysis of the client’s spend, which amounted to £92,247,345 annually and included over 34,000 transactions and over 700 unique payees. We focused on addressable spend and streamlined the client‘s ledger categories, reducing them from 150 to just 23.
Spend Identified:
£36,500,000 in addressable spend across key categories was identified.
Opportunity:
ERA Group identified potential savings of £16,700,000 over the next five years across three major spend categories:
- £1,700,000 from 10 categories (Annual Spend: £3.3m)
- £10,200,000 from 7 categories (Annual Spend: £23.5m)
- £4,800,000 from 6 categories (Annual Spend: £8.0m)
How we helped a leading provider of short breaks for families
Challenge:
The client had a highly fragmented supply base, with 81% of suppliers accounting for only 10% of the total spend. This complexity led to inefficiencies and missed opportunities for cost optimisation.
Solution:
ERA Group performed an in-depth analysis of the client’s spend data. Through detailed categorisation, we identified significant savings opportunities by aggregating spend across suppliers in non-strategic categories, while still maintaining local supplier relationships for key areas.
Spend Identified:
Over £177 million in annual spend was identified as ‘in-scope’ tail spend for ERA Group to address.
Opportunity:
Significant scope for aggregation, whilst maintaining local supply base.
Are we Right for You?
Even if you have full confidence in your procurement and internal departments, ERA can undertake an audit to make sure the prices you are receiving are competitive and the service exceeds satisfaction.
If our cost consultancy team can discover no savings, great. You don’t need to pay us, and you can have full faith in your procurement.
Or perhaps you simply don’t have the time.
We DO have the time and are keen to spend it confirming your assumptions or providing solutions to any challenges that may be worrying you. The peace of mind that our cost efficiency consulting can provide is priceless, especially in times of heightened risk and recession.
What’s peace of mind worth to you?
Register for Your Opportunity Assessment
Even if you have full confidence in your procurement and internal departments, our spend analysis ensures the prices you are receiving are competitive and the service exceeds satisfaction.
If our cost consultancy team can discover no savings, great. You don’t need to pay us, and you can have full faith in your procurement.
Uncover Hidden Value for Your Organisation – Register Today!