Typical savings achieved through cost avoidance (as percent of spend) that procurement organization actually delivers

This measure calculates percentage of typical savings achieved through cost avoidance (percentage of spend) that your procurement organization actually delivers on sourcing events/projects out of the annual value of goods and services purchased. Cost avoidance is reducing future costs (intangible savings) typically achieved through actions such as negotiating lower rates for new goods and services to be purchased. The process group "manage treasury operations" includes [Managing business's investments in trading in bonds, currencies, financial derivatives, etc. Manage the financial assets and holdings of the organization. Optimize the organization's liquidity. Invest excess cash. Reduce financial risks.]. This Cost Effectiveness measure is intended to help companies understand this cost expenditure related to the process group "Procure materials and services".