A long-standing Procure Analytics member company in the energy industry acquired one of the largest global companies in their industry.
After the acquisition, the member company asked Procure Analytics to help extend the member company’s cost management program into the combined organization.
Challenge: More Scale, More Complexity
With nearly $40 billion in revenue and more than 900 facilities, the acquired organization had significant purchasing power and a large existing MRO footprint.
The acquisition created a larger, more complex MRO environment across hundreds of locations.
MRO spend was spread across multiple suppliers, including national distributors, specialty suppliers, and local purchasing channels. Pricing was inconsistent and site-level purchasing patterns were difficult to compare.
The newly expanded company needed a practical way to analyze spend, align stakeholders, support supplier continuity — and capture savings quickly without disrupting operations.
900+
facilities
$1 million
immediate annual savings
$13 million
additional annual savings to realize
Approach: Immediate Savings, Long-term Value
Procure Analytics’ first step to expand MRO value across the larger organization was to identify immediate savings available through our partnership with Grainger.
At the same time, the Procure Analytics Member Advisor identified significant annual MRO cost savings possible through SKU consolidation and product standardization.
Results: $1 Million in MRO Savings
Procure Analytics captured nearly $1 million in immediate annual cost savings for the combined organization through GPO program pricing and supplier relationships.
The engagement also created longer-term operational value by giving the company better spend intelligence on MRO purchasing across the combined organization, including:
- Improved visibility into site-level spending and purchasing trends,
- Clearer governance around supplier strategy and compliance, and
- Ongoing savings tracking through monthly reporting and site-level reviews.
Next Steps: Realizing Additional Annual Savings
The Member Advisor, functioning as an extension of the member’s procurement team, also provided the analytics and supplier coordination to begin realizing an additional $13 million in identified annual MRO cost savings.
- CATEGORIES
- MRO
- Spend Analytics
