
A national distributor of energy
The Challenge
We already followed the development of raw materials we buy, but we never had a structured approach to follow these developments. I was busy with a tender for buying cables, for which we contacted 4 different suppliers. We aimed to extend the contracts with our suppliers for 1 year. One of the suppliers pushed us for a serious price increase. Our challenge was to cope with that. We started working with the WTP should costing software.
The Solution
With the WTP should cost software we now have easy access to all of this data. Since then it became easy for us to see what is going on with all the different raw materials. Since we have all these data based insights I confronted this particular supplier with a WTP report and received a rather special and extraordinary reaction from him. He said to me: “Well, I am not particularly sure what’s going on, but what you are showing me appears to be fairly logical”. The result of this negotiation was that the price increase practically disappeared. That saved us a six-digit amount at the time. Without factual data based evidence I never would have achieved this result. Personally, I find it comforting to negotiate with fact-based information that WTP provides me, as it provides me with additional confidence.
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