Measure Procurement Operations to Identify Savings Leakage

Pyze measures how sourcing, contracting, supplier management and purchase operations are performed, and prices what can be taken out.

~50%
of the measured day outside the system of record
1 week
to instrument
5
levers separated before anything is built
6 weeks
to a priced opportunity register

Engagement archetypes from Pyze deployments across procurement and shared services rather than a single named account.

Procurement organisations are measured on negotiated savings and run on a long tail of requisition handling, supplier queries, contract administration and compliance checking that have not been costed.

Common Findings in Procurement & Sourcing

Four patterns that recur across engagements, each shown with the measurement and the resulting change.

We have a catalogue and people still buy off it.

Simplify
What the measurement shows

Off-catalogue buying concentrates in a small number of categories and requesters, and the reason is usually friction rather than preference.

What changes

The friction is measured and removed where it drives leakage, which recovers more than a policy reminder.

Requisition handling absorbs the operations team.

Agentify
What the measurement shows

Most requisitions follow a deterministic path and a minority need judgement. Both are handled the same way.

What changes

The deterministic path is handled without a person and the exceptions arrive already triaged.

Supplier queries arrive by email and are answered from three systems.

Agentify
What the measurement shows

The answer exists in the record and is being assembled by a person for each query.

What changes

Queries answered from the record, with genuine disputes escalated already evidenced.

Contract compliance is checked at renewal and not before.

Automate
What the measurement shows

The evidence needed to check it continuously already exists in the transaction record.

What changes

Compliance monitored continuously instead of at renewal, after leakage has occurred.

Opportunity Register

A sample register, sorted by the lever that resolves each opportunity. In an engagement, each line carries measured hours, a named owner and the evidence it was derived from.

Requisition triage
Agentify
Deterministic path handled, exceptions routed triaged.
Supplier query response
Agentify
Answered from the record rather than assembled by a person.
Contract compliance monitoring
Automate
Checked continuously against the transaction record.
Supplier onboarding
Simplify
Checking risk-tiered against measured outcomes.
Catalogue maintenance
Automate
Maintained from the source signal.
Sourcing event administration
Automate
Event mechanics removed from the category manager.
Spend classification
Agentify
Classified against the taxonomy, ambiguity escalated.
Buyer load balancing
Rebalance
Load levelled against the measured day.
Automate and Agentify are distinct findings. Scheduling a report is deterministic work with a stated rule. Diagnosing an exception is a decision. Separating the two prevents a register from over-scoping the first and missing the second.

Systems typically instrumented

Coupa and AribaSAP and OracleServiceNowContract lifecycle platformsSupplier portalsExcel and Outlook

Capture covers browser-delivered and thick-client applications, including virtualized estates, with no change to how anyone works.

Roles Involved

Procurement operationsCategory managementSupplier managementGlobal business servicesOperational excellence

Instrumentation is configured per application rather than per person, so the population in scope is set during scoping and is not a deployment constraint.

How an Engagement Runs

Baseline, blueprint, transform, prove

The same four stages apply in every sector. The fourth stage repeats the baseline measurement, which makes the engagement an ongoing operating capability rather than a one-time report.

01

Baseline

What the work costs today, measured across every person and application.

02

Blueprint

Procedures, application rules and execution evidence, read as one target state.

03

Transform

Where each of the five levers applies, priced and owned.

04

Prove

The after state measured against the baseline, using the same method.

Frequently Asked Questions

Most of our leakage is behavioural. Can measurement help with that?
Yes. Behavioural leakage is not visible in the procurement system because it happens outside it. Measurement shows which requesters and categories are involved and why, which a general policy reminder cannot.

Start with a measured baseline

Six weeks from instrumentation to a priced opportunity register, and the baseline stays in place so later quarters are measured rather than re-estimated.