Procurement Cost Savings (PCS)
Total savings from vendor negotiation and supply chain optimization
FORMULA
PCS = (Baseline Cost - Negotiated Cost) / Baseline Cost × 100
What is Procurement Cost Savings?
Measures procurement effectiveness and negotiation success. Tracked against baseline and targets. High-impact area for operational expense reduction and profitability.
Chart
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— · Procurement Cost Savings
Required Data Columns
baseline_costnegotiated_costsavings_percent