# Impact of eProcurement

One of the most valuable uses of eProcurement is in non-production (MRO) purchasing, which is poorly-managed within most companies.

- requires supplier interaction

- 20-50% of spend is out-of-contract

- economies of scale are not leveraged effectively

- 80% of purchasing transactions

- mostly paper-based

- enterprise software is not flexible enough

Production

Resources

20-40%

Operating Resources

10-40%

Human Resources

10-20%

Profit, Dividends

5-20%

Taxes, Interest

10-15%

- MRO / Industrial Supplies

- Business Services

- Temp help

- Production services

- Technical services

- Facilities, maintenance

- Information technology

- Contractors

- Internal admin/support services

- Office supplies

- Utilities

Corporate Spend

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