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Indirects Index

Provides data-driven insight into your indirect spend to transform your procurement performance

Indirects Index

Provides data-driven insight into your indirect spend to transform your procurement performance

What it is

A tool to benchmark performance on indirect spend categories in terms of both spend levels and underlying drivers – across geographies and business units, as well as against peer companies.

Spend intensity

Do we spend too much on the category? Are our annual savings keeping pace with our peers?

Practices assessment

Do we do enough to manage demand and optimize the supply base in each category?

Savings estimate

What level of savings could be
possible from a targeted
category initiative?

How it works

The Indirects Index benchmarking tool is based on:

In-depth indirect spend data survey with​ 1,600+ company entries from all major industries and geographies across the globe

Significant indirect spend coverage across 12 indirect spend categories​ which are further broken out into
50 subcategories

Extensive data granularity across 1,700 key KPIs​ that provide detailed quantitative performance benchmarks

Experience from 1,600+​ McKinsey purchasing and supply management engagements over the last 5 years

Continuous benchmark updates on additional categories, sub-categories and KPIs

Participation is easy and involves 5 main steps
Sign-up & operational kick-off

Survey introduction and sign-up Kick-off call with CPO, and the entire indirect procurement team

Survey details, scope, ground rules, deadlines discussed

Benchmark
survey completion

Team completes benchmark survey and early results with live data

Regular touch points established for clarifications

Validation check

Data request completed and submitted to Indirects Index team
Comments sheet submitted by Index Analysts indicating any errors or omissions
Final refinement of data request

Feedback report generation

Preview of feedback report sent to the company coordinator for validating results

Feedback report completed

Results presentation

Discussion of the survey results with the Indirects Index implementation team, e.g., in a workshop

More than 50 categories of indirect spend across 12 verticals are available

Travel
  • Air travel
  • Hotel
  • Travel Agency
Company cars
  • Benefit / Status cars
  • Salesforce / job related cars
  • Pool cars
Marketing
  • Creative Agencies
  • Market research
  • Media Agency Fees
IT
  • Hardware
  • Software
  • Managed Services
Telecom
  • Wireline services
  • Wireless Services
Temporary labor
  • Commercial/ traditional staffing temp labor
  • Technical temp labor
  • Professional/ specialist temp labor
Professional Services
  • Consulting
  • Legal Services
  • Financial Services
  • HR Services
Employee services & Benefits
  • Healthcare Benefits
  • Employee Rewards and Recognition
Corporate Real Estate
  • Corporate HQ
  • Regional HQ
  • Sales / stores / branch offices
Facilities management & MRO
  • General FM
  • Cleaning
  • Cafeteria
  • Security
  • Office Furniture
Utilities
  • Electricity
  • Water
  • Natural Gas
  • Sewage
Logistics
  • Postage
  • Transportation
  • Outsourced Transportation Services / Admin
  • Warehousing

Indirects Index has delivered

350+

clients served

300+

unique indirect spend KPIs and
best practice benchmarks

40,000+

data points of indirect spend data

Here are some client examples

Indirects index delivered 10% annual saving​ for a global hi-tech company

Click thumbnails to expand

Global consumer companyrealized significant cost savings​ andset-up for more

Click thumbnails to expand

By working with us, you will have access to

Experts

Our industry and functional experts will be on the ground where and when you need them.

Helpdesk

Our helpdesk will keep doors open and commit to addressing your concerns efficiently and effectively.

Training

We offer coaching and build capabilities for your teams to deliver sustained improvements.

Implementation

We partner with you and co-create a firm path to implementation as part of the project.

Connect with us to find out more

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