ISM New York Report on Business
the performance GPO
February 22, 2017
A “high touch” GPO model that extends the breadth and
depth of our Members’ procurement teams
“The average ‘well performing’ organization only realizes and
implements 22% of negotiated indirect cost savings.”
–Aberdeen Group
“Research on contract compliance has shown that every noncompliant dollar of spend costs your company in the range of an
extra 12-18%.”
–Ardent Partners
“While savings are important, it’s not the key focus of our
procurement organization. Our focus is on accelerating our
business, keeping it nimble. Did we get the right supplier to
enable us to do what we need to do? Cost is just one component to
value.”
–David Natoff, Head of Procure to Pay at Google
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Corporate United Members
Education
Real Estate
Aerospace/Defense
Other
Metals & Mining
Energy Utilities
Construction
Transportation
Services
Healthcare
Manufacturing
Business Services
Agriculture/CPG
Financial Services
and Insurance
Chemicals
Retail
High Tech
3
31.23%
Manufacturing
12.63%
Financial Services/Insurance
10.53%
High Tech
8.42%
Retail
6.67%
Chemicals
5.96%
Agriculture/CPG
4.91%
Business Services
3.86%
Healthcare
3.16%
Transportation Services
2.46%
Construction
2.46%
Energy Utilities
2.11%
Metals & Mining
1.75%
Other
1.40%
Education
1.40%
Real Estate
1.05%
Aerospace/Defense
Corporate United Members - Demographics
Membership Growth
400
360
350
300
300
256
250
200
150
100
85
106
133
159
186
194
209
227
50
0
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
$4.7B
109
Average member
annual revenue
Members on
Fortune 1000 List
$225B 13,500
In collective
indirect spend
4
Average employee
count
Corporate United Category Offerings
40+ programs managed by 5 Category Group Teams
CORPORATE
SERVICES
• Branded Apparel
• Breakroom Supplies
• Contract Compliance
Audit Services
• Floral and Gifts
• Language Translation
Services
• Office Furniture
• Office Supplies
• Small Parcel
FACILITIES
•
•
•
•
•
•
•
•
•
•
•
•
Energy Management
Fire Protection
First Aid and Safety
Flooring
Industrial Supplies
Waste Mgmt
Less-Than-Truckload
(LTL)
Material Handling
Equipment
Office Relocation
Roofing
Safety Supplies
Uniforms and Mats
HUMAN
c
RESOURCES
IT /
TELECOM
• Background Checks
and Drug Screening
• Independent
Contractor
Compliance
• Managed Service
Provider (MSP)
• Payrolling
• Pharmacy Benefits
• Staffing and
Workforce Solutions
• Vendor Management
System (VMS)
• Workforce Mobility
• Conferencing
• IT Hardware Support
• Multifunctional
Devices
• Print Document
Services
• Managed Print
Services
• Technology and
Peripheral Items
• Telecommunications
Management
• Unified
Communications
Legend: Red text indicates new category offerings in 2016.
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TRAVEL
•
•
•
•
Car Rental
Corporate Housing
Meetings & Events
Travel Management
I spent 30 years getting ready for that decision that took 30 seconds.
Never, never, never give up.
Winston Churchill
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Marc Gilman
Vice President, Northeast
[email protected]
(917) 727-0138
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