What We Do
Generating Smart Procurement Impact
With third-party spend accounting for up to two-thirds of an organization's cost base, procurement is a key strategic lever to improve profitability, generate revenue, drive savings, and optimize working capital, while also accessing innovation, and mitigating risk.
To achieve these results, chief procurement officers must align and integrate an operating model that delivers repeatable and scalable execution of procurement strategy. Genpact combines procurement and supply market expertise, process excellence, and digital technologies to help clients transform their procurement capabilities and deliver absolute profit growth.
Genpact designs, transforms, and runs procurement functions for global enterprises.
We manage more than $50 billion of direct and indirect spend and process 7.5 million transactions a year for our clients. With deep experience across indirect and direct categories, we support, optimize, and manage the end-to-end sourcing and supplier management lifecycle.
We architect the Lean DigitalSM enterprise by combining design-thinking principles, and Lean practices with digital technologies and analytics, and deep domain expertise. Our approach reimagines organizations beyond the front, middle, and back office to deliver end-to-end solutions that institutionalize transformational change for clients.
Genpact provides consulting, outsourcing, and managed services across the procurement operating model. Our offerings focus on three main areas.
Front office: strategy and transformation
We enable procurement functions to manage all aspects that define its direction, management, infrastructure, and targets. These include:
- Procurement strategy reviews and development
- Procurement diagnostics to assess maturity and effectiveness and enable transformation
- Operating model design, implementation, and optimization
- Capability assessment, development, and training with our Procurement Academy framework
- Providing fiscal line of sight by improving business planning, and increasing financial integration and visibility for the business and finance
Middle office: sourcing and supplier management
We create and deliver value to the organization through:
- End-to-end category and commodity management, from strategy development to strategic sourcing project execution, assisted buying, and supplier management
- Comprehensive supply market intelligence and our spend analytics platform and center of excellence
- Hosted source to pay solutions and technology partnerships for eRFx, eAuctions, and contract management
- Supplier management, tail-end spend management, and development frameworks
- A comprehensive third-party risk management platform
- Demand planning, forecasting and inventory optimization
Back office: procurement operations
We combine process and technology excellence to streamline operations, including:
- Requisition to pay process management
- Transaction analysis and reporting
- Master data management for catalog, vendor and item master, and compliance management
- Supplier setup, purchasing cards, and catalog management services
- Order and inventory management
Our approach has generated hundreds of millions of dollars of business impact to clients around the world:
Reducing operating costs through procurement transformation and strategic sourcingRead Now
Third-party risk management: A global pharmaceutical addresses the ethical dimensions of supply chain managementRead Now
A global security software company had no mandate to drive spend through procurement and lacked savings visibility. Genpact created a center of excellence for operational sourcing support, launched a unified buying process, and improved category management and contract management. The company saved more than $72 million in five years, saw an 11% increase in spend under management, and reduced procurement turnaround time by 20%.
A global medical technology company faced cost pressures across the business. Consultancy spend was high and out of control with no cost transparency or demand management. Genpact established governance, approval, and demand control processes and negotiated rate cards to achieve a 42% decrease in annual consultancy spend. This also enabled performance measurement of (and reporting on) quality, client focus/flexibility, invoicing, and compliance.
A major pharmaceutical company outsourced sourcing and procurement to Genpact for more than two million transactions across key commodities in more than 40 countries. Within five years, the company had achieved 45% of spend going through eRFX and eAuctions, a 20% increase in contract compliance, and 30% savings from automation.
For a leading energy company, Genpact provided spend analytics and sourcing for key indirect categories. As part of a five-year engagement, Genpact improved spend visibility by 35% and increased overall compliance.
A global pharmaceutical company required a step change in procurement performance and business engagement. Genpact optimized the procurement organization structure and implemented a Procurement Academy to drive capability development. Employee satisfaction increased by more than 20% and brought talent attrition within expected levels. By attracting and retaining talent, the procurement team became recognized as a trusted partner by the business.