Reduce COGS with Dynamic Discounting

Although 80% of companies place a lot of emphasis on capturing early payment discounts, research shows that only 27% are able to capture all the discounts available, for various reasons such as:

• Companies may be unable to process invoices fast enough
• Organizations may not be able to conduct the spend analysis necessary to maximize discount capture
• Companies may not have access to best-in-breed technology platforms to run a high-impact dynamic discounting program

Dynamic discounting can be powerful enough to become the Holy Grail for reducing the cost of goods sold (COGS). It's easier said than done. This paper outlines the chasm between knowing and realizing the actual benefits.

Disclaimer: First published in the winter 2014 edition of Finance Director Europe.