Resource Origin: TAKE Supply Chain via OneSCM

“Indirect spend consists of all the materials and services that businesses need in order to operate. This can include areas like marketing and other professional services, travel, IT and HR, facilities, utilities, and maintenance, as well as basic consumables such as paper, paper clips and other office supplies. While it may seem like this area of spend wouldn’t be significant, especially compared to expenditures directly related to producing finished goods, recent studies have found that indirect spend can account for up to 50 percent of a company’s purchases and manufacturers specifically can spend 20 percent or more of their total revenue on indirect expenditures…”

http://www.onescm.com/4-key-strategies-wrangling-indirect-spend/

Contributors: Open Source
Categories: Industry Articles
SRC Type: Sourcing Management, Spend Management