Procurement Savings Radar
~20 buyers, ~EUR 50M spend
Starting Point
Mid-market mechanical engineering company with a high share of custom-drawn parts in direct materials. Prices are heavily influenced by raw materials, energy and labour costs. Transparency on whether price developments are in line with the market is lacking. Negotiations are based on individual buyer experience rather than data-driven arguments.
Challenge
- Raw material indices are tracked but not systematically compared against actual purchase prices
- Missed price reductions go undetected
- Bundling potentials for technically similar parts are not systematically captured
- Everything runs on Excel - no scalability, no traceability
Insave Approach
Phased approach with economic focus.
Savings Potential Sprint
1-2 weeks: Analyse addressable spend, validate savings hypotheses, check data availability, define meaningful pilot scope.
12-Week Pilot
Phase 1 (Week 1-2): Data package & business case. Phase 2 (Week 3-6): Savings Radar MVP with price/index logic. Phase 3 (Week 7-9): Negotiation Cockpit with target prices and argumentation logic. Phase 4 (Week 10-12): Validation & scale-out decision.
After the Pilot
Expansion modules after successful pilot validation.
CAD/Drawing Analysis
Use technical features from CAD/PDM to identify similar parts, material variants and complexity drivers.
Engineering Standardisation
Prioritise duplicates, over-variants and standard part potentials and hand over as backlog to engineering.
Category Scale-out
Roll out proven logic to further categories, suppliers and sites.
Expected Outcome
Similar challenge?
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