Banks & Financial Institutions
Operating Expense Reduction For Banks and Financial Institutions
Decentralized structures due to mergers and acquisitions as well as under investment in procurement expertise due to historically higher industry margins has banks facing organizational and capability challenges with regards to reducing operating costs
High write-downs, liquidity pressures, and tighter credit standards are encouraging banks and financial institutions to concentrate on internal cost savings. Banks and financial institutions have already slimmed down their headcounts and are looking for non-compensatory cost-cutting strategies.
Banks and financial institutions utilize Corcentric’s subject matter expertise in relevant indirect categories to drive savings and improve efficiency while encouraging high performance.
Corcentric’s proven strategic sourcing process and subject-matter expertise helps banks and financial institutions reduce non-compensation expenses and improve infrastructures. To identify cost-savings and operational improvement opportunities, Corcentric conducts a thorough initial spend analysis to have an overall view of where spend is allocated. From the analysis, Corcentric builds customized procurement solutions to meet organizational needs. Transitioning tactical buying practices to longer-term strategic cost initiatives leaves banks and financial institutions better able to renew current and future high-performance standards.
Common categories of operating expenses that banks and financial institutions find significant savings under the guidance of Corcentric include:
- Professional services (temporary workers, legal advisory, management consultancy)
- IT Services and Software
- Facilities Maintenance
- Rent/Lease
- Sales and Marketing
- P-Cards
- Insurance
- Telecommunications
- Office Supplies and Equipment
- Utilities
- Security Services
- Governance, Risk and Supplier Management
Banks and financial institutions are finding that traditional cost cutting methods aren’t producing the results needed to meet current business goals. Corcentric can help banks not only cut costs but cut the right costs. Our procurement transformation services not only enhance strategic sourcing practices from data collection through to implementation and ongoing monitoring, but we also present procurement transformation solutions including vendor consolidation, change management, and electronic enablement.