Spend Analytics for Reserve Bank of Australia

Spend Analytics for Reserve Bank of Australia

The Reserve Bank of Australia (RBA), Australia's central bank, engaged Charles Kendall to perform an in-depth analysis of its procurement spend, and to identify areas for quick-win cost savings. Charles Kendall successfully delivered a comprehensive report on spend data across numerous categories and offered recommendations for realistic segmented cost savings.

The Challenge

  • Develop a comprehensive report on spend data across a broad cross-section of categories and sub-categories;
  • Identify and provide recommendations on segmented cost savings (quick wins, medium-term and strategic) for presentation to department heads and CFO;
  • Work within limitations of RBA’s decentralised procurement structure, namely its small team managing major projects and contracts.

Our Approach

  • Collect detailed data to determine spend levels in each category, including general ledger accounts, department budgets, invoices, purchase orders and RFxes;
  • Relate this data back to supplier transactions, item sourcing groups, data sets and categories;
  • Ensure accuracy of data, including data cleansing and cross-referencing;
  • Provide analysis, report and spend dashboard for each category, outlining risks, opportunities and potential improvement strategies.

Outcomes

  • Successfully delivered report to RBA senior leadership and CFO;
  • Identified 11 quick-win procurement savings estimated at several million dollars;
  • Identified many medium- and long-term projects to deliver savings and improved efficiency across the procurement process;
  • Provided actionable findings to drive organisational improvements related to procurement and the decision making thereof.
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