{"id":5305,"date":"2016-12-03T15:04:59","date_gmt":"2016-12-03T21:04:59","guid":{"rendered":"https:\/\/test.isg.com\/?page_id=5305"},"modified":"2018-11-26T11:42:21","modified_gmt":"2018-11-26T17:42:21","slug":"group-purchasing","status":"publish","type":"page","link":"https:\/\/www.insightsourcing.com\/services\/group-purchasing\/","title":{"rendered":"Group Purchasing<\/span>"},"content":{"rendered":"

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Group Purchasing Organizations (GPO)<\/strong><\/h3>\n

What sort of leverage could you create by combining your spend in target indirect categories with 500 other companies? And what if you could achieve world-class category management and get unique category management technology at no cost? You can with the KGM Strategy Group Group Purchasing Organizations (GPO) programs.[\/vc_column_text][vc_video link=”https:\/\/vimeo.com\/278042650″][vc_column_text]The concept of a GPO makes lots of sense. But as sourcing professionals, we have learned the hard way that not every indirect category is a fit. Volume and economies of scale are not the only determinants of price. Wildly differing cost-to-serve variables means trying to force-fit a GPO model in some categories yields programs that may either be highly restrictive and a poor fit for many, or do not provide savings relative to a custom-designed program. Therefore, we have a highly targeted set of group purchasing offerings.<\/p>\n

KGM Strategy Group\u2019s GPO programs are a quick and easy solution for our clients to realize rapid or additional savings. Group purchasing programs leverage aggregate pricing in volume-driven categories so that you get the best possible service levels and pricing with leading suppliers.<\/p>\n

The KGM Strategy Group GPO programs are unique in the marketplace for four\u00a0reasons:[\/vc_column_text][vc_tta_accordion color=”sky” spacing=”4″ gap=”10″ c_icon=”triangle” active_section=”0″ collapsible_all=”true”][vc_tta_section title=”Our programs are developed by hard-core sourcing professionals.<\/strong>” tab_id=”1510342129722-a4ff8cdc-2c0f”][vc_column_text]Most other GPO programs in the market are developed by former sales people from the indirect world or by hospital administrators. Those programs often degrade over time as suppliers chip away at gaps in the contracts to improve their own margins. These groups are often guilty of GPO \u201coverreach\u201d and offer programs in categories that are just not a great fit for aggregated, one-size-fits-all programs.[\/vc_column_text][\/vc_tta_section][vc_tta_section title=”Insight GPO members receive SpendHQ\u2019s Category Management module for free.<\/strong>” tab_id=”1510342129797-d210aeb3-6d09″][vc_column_text]These unique category-specific tools enable your procurement team to manage the category at a world-class level in a matter of minutes a month. They have full visibility to line-item detail and can spot and reverse negative demand patterns, eliminate waste, detect fraud, and track savings at an auditable level.[\/vc_column_text][\/vc_tta_section][vc_tta_section title=”We provide active management.<\/strong>” tab_id=”1510342268878-2db289b2-2d22″][vc_column_text]We provide recommendations for additional savings and spend several thousand hours a year on vendor management to ensure our suppliers fulfill their commitments.[\/vc_column_text][\/vc_tta_section][vc_tta_section title=”If our out-of-the-box program is not a fit, we can customize it or even pivot to a full strategic sourcing process.<\/strong>” tab_id=”1510342301823-29ca2037-1be0″][vc_column_text]No other GPO offers that flexibility or capability.[\/vc_column_text][\/vc_tta_section][\/vc_tta_accordion][vc_column_text]<\/p>\n


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How to Get Started with InsightGPO Group Purchasing<\/strong><\/h2>\n

The implementation process for our GPO programs is quick and straightforward, requiring very minimal effort on your part.[\/vc_column_text][vc_tta_accordion color=”peacoc” spacing=”4″ gap=”10″ c_icon=”triangle” active_section=”0″ collapsible_all=”true”][vc_tta_section title=”STEP 1: Opportunity Assessment<\/strong>” tab_id=”1510338664974-96e8495a-2a5c”][vc_column_text]<\/p>\n