Companies that operate in the 5 to 6 percent profit margin area need to see and capture every single savings opportunity. Where financial goals translate into corporate policy, Best Practices are the Best, and first opportunity to look inward to find long-term, consistent gains.
Through ‘best practice’ processes and collaborative supplier relationships, companies have realized substantial cost reductions through:
Elimination of non-value adding process steps
Increased efficiency across the entire supply chain
Aggregation of demand, supplier rationalization, and 
strategic sourcing, and enhanced supplier relationships
Use of paperless e-Procurement tools and portals.
Reduced inventory cost through:
Cycle time improvement: Reduction of time from 
order to receipt
Reduction of carrying costs, warehousing, movement, obsolescence and shrinkage
