How much better could you be doing? Where are the biggest bangs for your buck? Who’s got the leverage?

The answers to all of these questions are made possible through ProfitLine’s Sourcing Strategy Development (SSD) services, which includes all the components needed to put your organization into the best possible position before contract negotiations. Combining a comprehensive analysis of rates and an array of qualitative factors, the end result is an overall negotiation strategy outlining your organization’s priorities and key points of leverage.

Sourcing Strategy Development includes all of the following components:

• Price Benchmarking
• Qualitative Analysis
• Scorecarding
• Rapid generation of “what if?” scenarios
• Final strategy development

Price Benchmarking

ProfitLine's advanced systems take your contract and billing data from any electronic or paper source and automatically extracts data to create a comprehensive pricing analysis, detailed down to the line item.

This pricing template organizes your data according to industry best practices and enables ProfitLine to automatically compare it, line item by line item, against our extensive benchmarking database of current market rates. The result, within days, is a clear view of what you have to gain, including monthly, annual and multi-year potential savings.

Qualitative Analysis

Pricing comparisons are just the beginning of our analysis. A qualitative review of key contract elements by our sourcing experts also playing a critical role. Since price is not the only measure of value in a contract, having a deep understanding of non-price factors can be the difference between an average and a best-in-class contract. Factors we analyze include:

• Vendor Qualitative Analysis: current vendor strengths, weaknesses and partnering effectiveness.
• Best practices analysis: pricing structure & MARC, renegotiation/term, HR/account team terms, billing clause, technology re-evaluation and many more.
• Service Level Agreements: structure, consequence and provisioning & delivery problem resolution

Scorecarding

Taking into account both quantitative & qualitative factors, ProfitLine is able to show what your priorities should be and how much leverage currently exists for each key service area.





Analysis results are distilled down into scorecards, which point to “biggest bangs for the buck”

Rapid generation of “what if?” scenarios

Imagine being able to see the short term and long term benefits of staying with your current vendor vs. switching to a new provider, or even factoring in a technology initiative such as a MPLS migration with a new service provider. Our unique pricing analysis can easily demonstrate various scenarios – yet another fact based way of determining the most beneficial negotiating strategy.

Final strategy development

Your specific goals and priorities drive the development of a strategy which balances the elements of the deal most valuable to you with those most important to the carrier - revealing opportunities for give and take. Combining the pricing benchmark, scorecards, new contract priorities and key points of leverage, you will have an overall negotiation strategy and be ready to negotiate a world class deal. But, a strategy is only meaningful if it is executed by skilled negotiators with access to web-based technology who can streamline the complex bidding process. ProfitLine’s Directed Contract Negotiations ensures you get the best possible deal by putting our unsurpassed negotiation expertise on your side of the negotiating table.

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