Pricing in procurement

Companies’ purchasing and procurement activities are becoming increasingly complex. In procurement, the significance of purchase terms and their management is steadily rising. Changing markets and global competition call for constant adjustments. Automation enables many processes to be optimized.

In today’s markets, purchase conditions are often put to the test. This involves considering requirements when it comes to evaluating goods as well as managing and settling costs. There is also the fact that manufacturers are increasingly tailoring their pricing to customers.

Price models are becoming ever more complex

Changes in the markets and global competition are putting pressure on companies. Purchasing and procurement are facing many new challenges. Today’s contracts include sophisticated purchase conditions that are flexibly tailored to the market. In addition, traditional purchasing is increasingly being conducted via supplier portals and manufacturers’ catalogs. All of these factors impact on the core element of purchasing: arranging terms and conditions. These are all good reasons to adopt automated condition determination with complex price models. This incorporates:

  • Automated condition determination with complex price models
  • Purchase prices with sales-oriented discount and rebate models
  • Management of conditions by goods for evaluation purposes
  • Automated rebate processing
  • Agreements on graduated special discounts based on contracts
  • Purchasing associations
  • Price models with purchasing platforms
  • Complex intercompany processing models
  • International purchasing, taking into account country-specific aspects and legal regulations
  • Automated cost allocation in purchasing
  • Pricing during campaign management
  • Supplier chargeback (direct and customer-specific models)

One-stop procurement solution

KPS has comprehensive expertise in all areas of purchasing and procurement, plus extensive experience in pricing. We offer our clients:

  • End-to-end management of terms and conditions for purchasing, in conjunction with sales, contracts, in-house, international, and group-wide stock transfers.
  • Design, building, and implementation of complex pricing models
  • Support for category management
  • Integration of financial accounting and controlling, particularly in:
    • Designing goods evaluation
    • Scope of cost management in purchasing (trading expenses, procurement costs, transportation costs, etc.)
    • Cost distribution, shifting, and settlement, provisions, etc.
  • Optimization of procurement processing in the field of condition technique, price labeling, electronic data transfer such as EDI, etc.
  • Conditions workbench
  • Tax processing
  • Change management for conditions (manual and automatic with document update)
  • Migration of conditions
  • Integration of supplier platforms and supplier portals (product design and pricing)
  • Integration of supplier catalogs with market prices, price fixing, individual conditions, etc.
  • Involvement of downstream systems for distributing procurement conditions
  • Pricing in intercompany processing
  • Mass price changes
  • Test management for procurement prices
  • Expertise in designing performance-intensive requirements for conditions
  • Pricing
  • Supplier chargeback (rebate models, subsequent settlement, etc.)

The KPS consultants have in-depth expert knowledge in all retail segments. In this area, procurement processes and arranging terms and conditions are key elements of a value chain. The expert teams help you optimize your purchasing and establish cutting-edge procurement processes.