For manufacturers, change is expected and inevitable. As a result, procurement professionals are tasked with generating greater results and more efficiently managing costs. Based on our work with the top 7 out of the 25 manufacturers in the United States, we have observed the following five trends listed below that are impacting our clients’ ability to generate value.
The Importance of Auditing Your Contract
Manufacturers are in an ever-changing landscape that focuses on efficiency and remaining agile, but working with multiple suppliers and keeping track of billing and information can cause any organization to be wary of unforeseen disruptions and challenges. By ensuring your contractual agreements are being upheld, your organization can improve earnings and create stronger relationships with your suppliers while also increasing process efficiency and mitigating data security risks. In order to successfully run your business and provide top-tier service, you must also demand a high level of service from your suppliers. The faster problems are found and corrected, the less recovery is ultimately necessary.
Our Manufacturing Expertise
With years of manufacturing experience, our Contract Compliance Audit Services team can help your organization navigate its way through everything from mergers and acquisitions to market expansion and everyday compliance issues. Our experts utilize years of experience in the industry to locate important compliance issues that will affect your bottom line. Our Contract Compliance Audit team can provide your manufacturing business peace of mind.
Our team has experience with helping our manufacturing clients with:
Creating Contract Clarity and Transparency with Third-Party Manufacturers
Improving Upon the ROI of Mergers and Acquisition Deals
Mergers and acquisitions (M&As) have continued to shake up supply chains, contracts, collaborations, and every other aspect of business for organizations large and small. Regardless of company size, it’s essential to prepare for these changes so the transitions are smooth and integration benefits are fully realized.
Enterprise integrations are incredibly complex, and merging processes, policies, contracts and supplier relationships is huge undertaking.
Many large-scale manufacturing and refining operations deal with shutdowns, turnarounds, and outages. On the one hand, routine maintenance and improvements often require occasional closures of major industrial operations to accommodate upgrades, maintenance, and inspections. However, savvy companies can recognize that these events are opportunities, as well. Short-term closures can provide competitive advantages, especially in high-cost, high-risk industries where stability and dependability are at a premium.
Growth is a common goal of any organization. However, during periods of growth, organizations can easily extend their resources past what they’re capable of in terms of money and manpower. It is during these times when a business can leverage the most benefit from the skill and experience of third parties. Independent contract compliance audits can help procurement professionals expand into new markets by improving communication, refining performance, and avoiding traditional pitfalls.
Whether it’s the acquisitions of Nuance Communications by Microsoft or The Bountiful Company by Nestle, it seems like every day brings fresh news of major companies merging with or acquiring their competitors and suppliers. One in five enterprise procurement officers say that expanding via acquisition is a strong priority for their organization, and no matter the industry, this process carries its complications.
COVID-19 has shown that pharmaceutical executives face contract compliance challenges that can result in big mistakes and public scrutiny, especially in times of growth into new markets. The value of contract compliance can prove to be essential to not only saving money for your company, but also helping to improve and protect the wellbeing of your customers.
In particular, pharmaceutical companies should consider completing contract compliance audits at four essential times during and after a business combination.
In this white paper, we dispel nine common audit myths that frequently persist in organizations without extensive contract compliance audit experience. Understanding these myths can help companies make more informed decisions about the costs and benefits of contract compliance audits.
Oil and gas companies have faced an array of market challenges in the past 15 months. COVID-19 has greatly affected the global energy sector, slashing demand with heavy travel restrictions and government-imposed lockdowns.
Due to the changes in the industry, oil and gas companies must be quick to react and adapt. With the ongoing compilation of new restrictions and operational complexities, production costs, and quick swings in the market, companies are battling an increased number of challenges and risks.
Manufacturing Growth and Innovation
As advisors to manufacturers for nearly 30 years, SC&H Group understands the industry is constantly navigating challenges that require operational focus, strategic planning, and precise execution.Learn More