Automation to Reduce Vendor Spend: Transforming a Fragmented Procurement System into a Centralized Powerhouse

Overview

The facilities management sector of a global hospitality management company faced significantly decentralized operations and a lack of oversight in the vendor onboarding and payment processes. Client site locations were operating independently—contracting and paying third-party vendors—which resulted in:

  • Lack of Spend Visibility: No centralized tracking of expenditures, making budgeting and forecasting difficult

  • Inefficient Procurement: Redundant requests, inconsistent vendor selection, and missed opportunities for bulk discounts

  • Increased Errors: Invoice discrepancies, unauthorized purchases, and delays in receiving necessary materials hampered operations

  • Compliance Risks: Difficulty adhering to internal controls and audit requirements created exposure to financial risks

Modern hotel reception desk made of black marble with gold trim, behind which a decorative wall features vintage-inspired mural art with bold patterns in yellow, black, and blue. There are two computer monitors and a desk lamp on the counter.


Allison, the Director of Strategic Solutions, was tasked with building a Purchase Order (PO) process from the ground up. Her structured approach included:

Pre-Project Assessment

Stakeholder identification and engagement
Current state analysis
Defining objectives and scope
High-level process mapping

Project Planning and Design

Workflow development
System requirements gathering
Vendor evaluation

Project Execution

RFP development and vendor selection
System configuration and customization
Testing and user acceptance
Training program development and delivery
Go-live planning and execution
Ongoing support and monitoring

Solution

Interior of a modern restaurant with large windows, hanging orange pendant lights, tables set with wine glasses and napkins, and a waiter preparing a table.

Meaningful Results

The implementation of the centralized PO system delivered measurable impact:

  • 10% Reduction in Vendor Spend through increased visibility

  • 5-Day Acceleration in monthly invoice approvals

  • 15% Cost Savings realized by centralizing the PO process

  • Improved Compliance and Control through an audit trail of PO activities, enhancing internal oversight and facilitating regulatory compliance

Allison transformed a siloed and inefficient procurement environment into a streamlined, compliant, and cost-effective system—delivering tangible benefits to the company’s bottom line and operational efficiency.