Procurement

WHAT EVERY COMPANY NEEDS TO KNOW ABOUT

SPEND MANAGEMENT PRACTICES IN

FORTUNE 100 COMPANIES

Practices

We researched the Fortune 100

companies to determine their spend

management and sustainable

supply chain practices

AND OF THOSE…

ONLY 39 COMPANIES

HAVE BETTER EBITDA MARGIN

THAN THEIR INDUSTRY’S STANDARD.

BUT ONLY…

21% Have board

members with

procurement or

supply chain

backgrounds

5% Have Chief

Procurement

Officers

SPEND MANAGEMENT IS A PUBLICLY-STATED,

KEY STRATEGIC OBJECTIVE FOR 47% OF CEOs

31 COMPANIES HAVE A VP-LEVEL

PROCUREMENT EXECUTIVE

4 FORTUNE 100 COMPANIES HAVE A

CHIEF PROCUREMENT OFFICER

CPOs CAN HAVE A SIGNIFICANT IMPACT ON

THE BUSINESS BUT IT’S NOT BEING

COMMUNICATED… …AND

THEY’RE

NOT VISIBLE

…tend to have a

higher net income margin

than those who do not

Companies that include suppliers in

their Corporate, Social and

Environmental Responsibility (CSER)

programs…

CEOs see emerging markets as a

key strategic objective

…AND 15% HAVE EXECUTIVES

FROM BRICS COUNTRIES ON THEIR

MANAGEMENT TEAM

Our

• LIMITED VISIBLE INNOVATIONS BY FORTUNE 100 COMPANIES

IN THE SUPPLY CHAIN & PROCUREMENT AREAS

• CSER PROGRAMS NEED TO INVOLVE THE SUPPLY CHAIN

• NOT ENOUGH FOCUS ON EMERGING MARKETS

Findings

Get involved with your company’s

sustainability activities

Engage emerging markets in your global

sourcing efforts

Pursue spend management innovation

Build a CPO profile

What You Should Do

Full research report available by request

jessica.warren@tradingpartners.com

+1 312-857-3000

www.tradingpartners.com

http://www.linkedin.com/company/tradingpartners

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