Many organizations are finalizing their budget for 2023 and want to establish how much a Sourcing implementation project could cost them. In this blog we tell you some market numbers and the benefits.    

According to a study carried out by Capterra, the average cost is US$200,000 to US$450,000 depending on the complexity of the solution. However, it should be noted that this study was carried out for countries in Europe and the USA.  

Cost evaluation in SCM implementation

These costs undoubtedly do not correspond to the Latin American reality that faces devalued currencies and faces many complexities in the Supply Chain. An investment in technology only for the implementation of a solution of this type is disproportionate from our perspective.  

According to this study, despite the cost, up to 900% ROI can be obtained in 3 years from the time the solution is implemented. The expected benefits are:  

Increase in Productivity of the Supply team, due to the reduction of manual tasks

Average savings in purchases for various categories, due to obtaining more and better suppliers. 

Increase in the speed of the cycle from search to contract, due to the automation of the e-sourcing and auction solution that speeds up the interaction with the supplier.    

Increase in hiring speed due to automatic approval flows. 

Management of supplier database given its centralization and high reliability, given that they are validated from a technical and financial point of view. 

Supply chain risks, due to a more rigorous and precise selection of suppliers with real-time risk analysis. 

Postscript: At Suplos we are proud to show that through the technology and efficiency that we have generated in these 8 years, we have rates that are just a fraction of the costs described. So we can deliver a much higher ROI to all Latin American organizations in less time. Contact us. 

Data taken from: Capterra/Science Soft.