QuickVue™ into Spend Cubes

What is it? 

The spend cube provides a three-dimensional examination of a company’s spend data. At its most basic, the cube provides insight into cost center-level total spending (i.e., who bought what from where). With additional layers, the cube format resembles a Rubik’s cube, providing richer analysis across spend categories, cost centers, and vendors. Understanding the spend cube is critical to addressing spend across the company.  

Populating the cube with relevant data is paramount in providing the company with reliable insights that lead to quick-hitting targets for maximum results. 

What will it give you? 

Peter Drucker once said, “If you can’t measure something, you can’t improve it.”  

Populating the spend cube with appropriate and accurate data gives procurement insight into the who, what, when, and where related to spending within the company. Transparency enables your team to make intelligent decisions to meet and exceed targets. 

A fundamental spend cube analysis of the entire company across all categories will reveal the following: 

• Total spend. 
• Spend by category, starting with a split of direct and indirect categories. 
• The number of suppliers in each category. 
• The amount of spend with each supplier. 
  
  

Once this foundational analysis is complete, Pareto analysis can be employed to gain more in-depth insights and identify your “vital few,” those areas where your company can quickly realize returns. After capitalizing on these immediate opportunities, your team can work through the medium to longer-term areas of benefit. 

How often should you do it? 

Performing these analyses regularly and continuously drives actionable value, with monthly being the ideal interval from a continuous performance measurement perspective. Carrying out the spend cube analysis process and additional deeper dives through further analyses enhances the information available to steer shorter-term positive actions and longer-term procurement strategies to support overall company performance. 

How can ProcureVueTM help you? 

ProcureVue™ will work with you to analyze your spend data. Once cleansed, the data is harmonized, categorized, enriched, and analyzed to generate an accurate snapshot of your company’s performance. The result… your populated spend cube and potentially powerful insights. 

From there, ProcureVue™ analysts transform your spend cube into easily digestible visualized insights with identified quick-hitting areas that you can engage immediately.