Successes –

Corporate United Fortune 1000 members possess significant buying power themselves. Corporate United challenges our members and suppliers to negotiate not only the best pricing, but to create a compelling TCO value proposition for group contracts. Ultimately, the members realize significant hard dollar savings with other world-class procurement practices are identified and implemented with Corporate United contract participation.

Case Study One: Driving Contract Compliance From a Center-Led Perspective

The Players
Fortune 200 manufacturing company and Industry Leader in Office Products

The Member's Needs
Our member, a leading manufacturer in the aerospace industry, wanted to focus its office products purchasing initiative on driving contract compliance from a center-led perspective. This company was very decentralized in its indirect purchases. The member originally had an office products supplier base with multiple major suppliers and additional high maverick spending with local suppliers throughout its locations. As with all member companies, the largest initiative is cost reduction. With our leveraged contracts, Corporate United’s office products program offers an opportunity to lower item costs significantly and rapidly.

How Corporate United satisfied its member’s needs
After a Corporate United’s initial savings analysis revealed a double-digit cost savings, Corporate United spearheaded implementation of online ordering and catalog use, maverick spending was reduced by 40%. Other benefits that the member company received from the Corporate United contract implementation was an improvement in reporting and processes that drove spend to best value items. Post implementation, the member company captured further cost reduction of 5% by directing process driven compliance via quarterly reviews with Corporate United and the supplier. Corporate United, in tandem with our preferred office products supplier, was able to exceed our member’s stated goals.

Savings Snapshot
Members Annual Spend: $3,000,000
Cost Savings: $450, 000 annually, 15% of base cost
Actual ROI: > 2000% (Based on one-time membership fee)

Case Study Two >

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