Case Study
From Fragmentation to Consolidated Procurement: A Procurement Overhaul at a Leading Health and Science College
Managing procurement, supply chain, and purchasing across multiple campuses is no small feat—especially without a centralized system. Our client faced significant challenges in vendor management, contract negotiations, and invoice tracking. Each campus operated independently, leading to inefficiencies, excessive costs, and limited visibility into purchasing trends.
The Challenge
Before the procurement transformation, the institution faced several critical inefficiencies that hindered financial and operational performance:
Lack of a Centralized Procurement System: Each campus independently managed purchases based on immediate needs, leading to inconsistent processes and decision-making.
Unstructured Vendor Management: Over 80% of payments were made via corporate credit cards, making invoice tracking and financial reporting difficult.
High Costs and Limited Negotiation Power: Purchasing trends and vendor contracts were not optimized due to the lack of a unified procurement strategy, leading to increased expenses and costs.
Limited Contract Oversight: Vendor relationships were managed without a strategic approach, resulting in missed opportunities for cost savings and service improvements.
No Inventory Management System: Supplies and services were acquired without standardized tracking, resulting in inefficiencies and stock issues shortages.
Our Approach
To address these challenges, the institution partnered with industry experts to implement a structured procurement and supply chain management strategy. The key components of this approach included:
Procure-to-Pay System Implementation: The institution adopted Coupa Software to centralize procurement, invoice management, and vendor tracking across all three campuses.
Centralized Vendor Onboarding: A standardized process was introduced to manage vendor relationships, track contracts, and improve compliance.
Strategic Contract Negotiation: Bulk pricing and long-term agreements were established to reduce costs and improve service levels.
Enhanced Financial Controls: Corporate credit card dependency was minimized by enforcing purchase orders (POs) for all transactions.
Inventory Management System: Standardized processes were introduced to track stock levels, reduce supply shortages, and improve cost efficiency.
The Results
Improved Financial Control:
Reduced corporate credit card reliance from 80% of transactions to a structured, traceable procurement system.
Cost Savings By:
- Bulk purchasing and contract
- Bulk purchasing and contract
- Implementing new payment terms
- Streamlined Vendor Management
- Efficient Invoice Processing
- Stronger Supplier Relationships
- Enhanced Inventory Control
- Data-Driven Decision Making
The success of this procurement transformation at this higher education institution demonstrates the power of a well-structured procurement strategy. By leveraging technology, optimizing vendor relationships, and implementing centralized financial controls, the institution has significantly improved efficiency, cost management, and supplier collaboration.
Other Case Studies
Case Study
Pioneering Nursing Education: Building the First Accredited Master of Science in Holistic Nursing in the U.S.
Discover how we partnered with a leading US higher education institution to design a groundbreaking Master of Science in Nursing…
Read More
Case Study
Revitalizing Learning: LMS Migration and Course Modernization
Discover how we helped a leading higher education institution migrate over 9,600 course modules from Blackboard to Canvas while rejuvenating…
Read More
Case Study
Bridging Borders in Education: A Localization Success Story
Discover how we collaborated with a leading Chilean institution to effectively adapt and localize an innovative Data Science program. Delivered…
Read More
Case Study
From Vision to Reality: Market Insights & Curriculum Design for an Online MFA Program
To support a specialized fine arts higher education institution in expanding its academic reach, EDUTECHLoft conducted a two-phase project: a…
Read More
Case Study
Enhancing Decision-Making With Real-Time Analytics: A Success Study
In today's data-driven educational landscape, institutions must effectively manage and analyze vast information to drive strategic decisions. A leading specialized…
Read More