Vendor Consolidation Trends and Challenges
Vendor consolidation is becoming more prevalent post COVID. Companies had to make some adjustments to survive the challenges COVID presented, and vendor consolidation was one process many enterprise companies adopted. The good news is that it is still a large part of the enterprise approach to cost savings and process improvements. According to the recent AOTMP article, Vendor Consolidation Trends—Benefits and Challenges, if done right, it can provide significant value.
The article highlights the following:
What are the benefits of vendor consolidation?
- Enterprise-grade agreements
- Volume discounts
- Dedicated support, sales, and solutions team and someone to call directly
- Consolidated invoices
- Less contracts to manage for renewals
- Early Termination Fee offsets
- Streamline approach for delivering solutions for the business
- Better partnership
- More insights into trends and roadmaps
What are some challenges of vendor consolidation?
- Geographical limitations. One vendor may not be able to deliver services to every place your business operates.
- Time, resources, and project management required to make those changes within the enterprise.
- Installation and one-time charges incurred when consolidating services may be a factor depending on what is required to swap services.
Trinitas has solutions to guide your team through the decision-making process when it comes to if and where to consolidate, implementing a process and activating vendor support to achieve your goals.
Recently, Trinitas partnered with a large insurance company. We helped the company identify which areas to target, then worked through the consolidation process, and finally implemented the service. The company went with our Enterprise Anywhere platform. As a result, they saved over $1,000,000 in hard costs while freeing up countless workday hours for their employees.
If you’re considering consolidating your business, contact Trinitas today. We can help you navigate the process and identify key areas of focus.