The KGM Strategy Value Protector (IVP) is a groundbreaking solution for reactive claims management. It assists in countering price increases and securing the supply chain, thereby relieving procurement teams. Leveraging advanced analytics and easy adaptability, the IVP offers a crucial advantage in a dynamic market environment.
The KGM Strategy Value Protector (IVP) streamlines the management of reactive claims, with a primary emphasis on preventing cost escalations proposed by suppliers. This tool is activated when a supplier submits a cost increase claim, allowing businesses to assess potential risks and take informed actions. IVP supports users throughout the entire cost control process, offering detailed guidance on the situation and outlining the necessary steps to address it effectively.
The IVP automatically generates specific response letters for supplier requests, which can be sent out immediately. This saves time and resources, eliminating the need for additional alignment with the legal department.
The IVP utilizes market and price data to create well-informed counterpositions. This facilitates negotiations and strengthens the company’s position against suppliers.
The IVP guides users through the entire process, from the initial claim to the final settlement, ensuring consistent and efficient handling.
Due to its modular nature, the IVP can be easily tailored to meet the specific needs and requirements of a company, making it a flexible solution.
Imagine you are a commodity manager for die-casting parts, and you receive a letter from a supplier claiming an additional cost of €20 million due to increased energy and transportation costs. The IVP helps you craft specific response letters for each supplier by simply answering a few questions. This automated process not only generates a ready-to-send letter but also requires no legal alignment, making it extremely efficient.
Additionally, if the supplier follows up with concrete data to back up their claims, the IVP validates these claims against relevant market data, providing a fact-based counterposition that can turn the momentum of the negotiation in your favor.
PROCUREMENT: LET’S GET REAL!
