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Article Now Available: Are Special Orders Draining Your Budgets?
Date:8/5/2009

CARY, N.C., Aug. 5 /PRNewswire/ -- SciQuest, Inc., the global leader empowering enterprises to realize the potential of strategic procurement, today announced the availability of the first article in the company's Procurement Insight Series for the healthcare industry. The article, "Are Specials Draining Your Budgets? Learn how to Plug the Leaks," details how special orders can harm productivity and profitability while offering solutions to help organizations get to the source of the problem and remove costs throughout the purchasing process.

"In this economic environment, finance and supply chain professionals in healthcare organizations are under increased pressure to cut costs and drive on-contract spending," said Krista Fuller, director of Product Marketing for Healthcare at SciQuest. "One critical component of supply costs includes special orders, which are manual workarounds when staff cannot find the right product in the ERP item master file. Special orders are typically purchased at retail or non-contracted prices and, therefore, are a leading contributor to the erosion of hospital profits. With the right solutions in place, healthcare organizations can save an average of 8 percent through the reduction of special orders."

Content, or lack of it, in the ERP item master file is at the heart of why most special orders are placed. "Are Specials Draining Your Budgets?" details the productivity and profitability losses generated by special orders, such as overpayments and invoicing errors, and provides best practice guidance from the results one organization found with a content management solution, including a 33 percent reduction in the number of special items purchased and 20 percent savings on ea
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SOURCE SciQuest, Inc.
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