This national research university’s procurement department supports the school’s research, teaching, and practice missions by managing more than $2 billion a year in annual purchases. The department prides itself on providing accurate, timely, and trustworthy financial analysis and insight to decision makers at the university. The procurement team asked KPMG to help it go even further, and use leading machine learning and Artificial Intelligence (AI) approaches to better understand spending patterns.
KPMG helped build a new data classification framework and a purpose-built analytic model. The new solutions now support “a single version of the truth” and light up spending patterns by category, supplier, or time period. With our assistance, the university’s procurement department is advancing its own analytics agenda while contributing to the financial health of a world-renowned university.
The university’s procurement department has deployed machine learning and AI to better leverage collective purchasing power, reduce the overall cost of goods and services, and facilitate acquisition. Specific benefits include:
KPMG helped the university’s procurement department apply leading data governance and analytics practices to its spend management function. The KPMG team:
As advisors on the journey with our clients, we must address both the strategic value issues all procurement leaders face, and tactical challenges such as spend analytics and third-party partnerships.
As analytics and AI become “must have” capabilities, organizations need to integrate the right combination of technology, organizational capital, and data strategy to advance their own analytics and AI agendas.
Delivering measurable impact for mission-driven organizations, as with for profit companies, connects meaningful performance metrics tailored to the vision, objectives, and the needs of their stakeholders.