Procurement Study Benchmarking

Our Procurement Process Spending and Staffing Benchmark study provides over 75 metrics across procurement practices in seven industries throughout North America and Europe. These benchmarks allow organizations to evaluate their procurement spending and staffing levels with detailed insights. For a more customized analysis, we can handle the benchmarking for you.

By simply providing your procurement budget and staffing data, our proprietary tool, AvaMark, will generate benchmarks and deliver a comprehensive analysis.

The deliverable will be a 70+ page report that benchmarks your procurement spending and staffing ratios in three key ways: first, by comparing your data against all organizations in our extensive database; second, by benchmarking your performance against similarly-sized organizations; and third, by evaluating your results within your specific industry sector.

Our analysis includes insights into variations from benchmarks and recommendations for further investigation. Additionally, the service includes one or more web conferences with an analyst to discuss the findings.

20+ Spending Metrics

15+ Operations Metrics

25+ Staffing Metrics

15+ Services Metrics

To receive a sample deliverable for this benchmarking service, please enter your contact details below, and we’ll email you a copy.

BENCHMARKING COVERAGE FOR PROCUREMENT SPENDING AND STAFFING ANALYSIS

Our benchmarking coverage spans a wide range of procurement spending and staffing metrics. Below are examples of metrics covered in the report, along with demographic comparisons such as total organization size, revenue per employee, procurement staff size, and more.

Procurement Spending Benchmarks

Indirect procurement function budget as a % of revenue
Indirect procurement budget per purchase order
Indirect procurement budget by line item (% split)
External procurement personnel budget per external FTE

Procurement Staffing Benchmarks

Corporate employees per procurement staff member
Corporate employees per indirect and direct procurement staff member (% split)
% of total procurement staff allocated to direct and indirect procurement (% split)
Indirect procurement staff by job function (% split)

Procurement Operations Benchmarks

Purchase orders per indirect procurement staff member
Managed indirect spend per indirect procurement staff member
Days payable outstanding
Indirect spend per day

Procurement Services Benchmarks

Top 10 procurement systems
% of procurement personnel (direct and indirect) per procurement tech specialist
% of procurement tech specialists by organizational unit

Benefits of Procurement Budget Benchmarking

There are a variety of reasons that organizations use AvaMark to evaluate their procurement spending and staffing levels. For example:

To improve procurement operational performance through better understanding of how procurement costs and staff levels compare with those of other organizations.
To justify existing or proposed levels of procurement spending based on typical budgetary ratios in similar organizations.
To develop a business case for new procurement staff positions based on typical procurement staffing ratios for various functions
To evaluate the procurement spending and staffing characteristics of a potential corporate acquisition or investment target, as part of a due diligence exercise

Avasant also offers custom benchmarking studies for specific sectors or groups, allowing participants, including competitors, to benchmark their procurement spending and staffing levels without revealing their individual data. All information is confidential, and we only use it to create aggregated summary statistics.