Pandemic-Governance-Contract

Coping with the Pandemic through Effective Data and Governance

GovernX® enables clients to steer through the pandemic with data insights and effective governance.

Opportunity
Background

  • The Client is an industry leader in the Travel Transportation and hospitality space.
  • With the COVID-19 pandemic the client was heavily hit and had to take some immediate steps to steer through these aggravated times.
  • The client had implemented GovernX® for providing oversight to its Tier 1 suppliers and had consolidated 1,023 contractual documents to cover contracts over 241 suppliers.
  • The client was keen on data analytics and ISG was able to provide periodic analysis across the landscape.

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Pre COVID-19

  • Key benefits from the engagement.
  • Contract Management
    –93% on-time submission of Deliverable artifacts and 77 % on time approvals through the tool.
  • Spend Management
    – Processing on an average of 4000+ line items of Invoice management.
    – The Invoice Discrepancy has reduced from 50% to 10%.
  • Performance Management
    – Average resolution time for SLA discrepancies has reduced from five days to two days.
  • Value Add
    – Data analytics was used as a key lever to provide the client with insights on spend and supplier performance areas. Issues on problem management, spend pool, etc. were constantly highlighted so that client could drive operational efficiency and take informed decisions.
  • Savings Till date
    – $5 million in client savings by preventing value leakage and cost avoidance.
    – 50% reduction in manual efforts.

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Post COVID-19

  • ISG conducted a price benchmarking to produce optimal rates for their key suppliers. These rates were used to renegotiate with the suppliers and optimize costs across three regions.
  • A resource analysis report was provided to the client for resources with heavy rates and utilization trends. An analysis on software license utilization is in progress.
  • Contracts were identified across Tier 1 to Tier 3 suppliers where price discounts and extended payment terms could be negotiated.
  • As part of portfolio optimization work orders are being scrutinized to ensure optimal billing, supplier consolidation and ensure zero monetary leakage.
  • Due to consolidation and availability of data across their contracted landscape and a discipline of conducting periodic analysis the client was able to act swiftly to the demanding times.