Spend Benchmarking

Spend Benchmarking

A comprehensive spend and risk analysis with negotiating advice at your part number level.

33  articles in this collection
Written by Shawn Bradley 

Do you take volume into account for price predictions?

In short, we don’t.  Nor do we need to.  That’s the simple elegance of “Bradley’s Law”. Take a look at our […]

Written by Shawn Bradley
14 June 2021

Can I calculate my competitiveness without access to the Spend Benchmarking plugin?

A tip for calculating an approximate price competitiveness is by entering 10 to 20 production components into the Price Estimator plugin and […]

Written by Shawn Bradley
14 June 2021

What is On-AVL and Off-AVL?

AVL stands for Approved Vendor List and is a listing of suppliers and components approved for use in a company’s product.  […]

Written by Shawn Bradley
14 June 2021

Can I benchmark custom products?

Currently Lytica is unable to benchmark custom products like plastics, metalwork and printed circuit boards. We are working on a […]

Written by Shawn Bradley
14 June 2021

What does independent benchmarking mean?

Lytica is independent and free of any supplier relationships that might compromise objectivity in our benchmarking analysis or recommendations to […]

Written by Shawn Bradley
14 June 2021

Is there any guarantee that I will get the savings?

Good question, hopefully this helps.    Benchmarking is a process that compares what others are paying for materials; we cannot […]

Written by Shawn Bradley
14 June 2021

What types of companies are in your database?

Specific Lytica client information is confidential, but many of the world’s leading OEM, EMS and component manufacturers are taking advantage […]

Written by Shawn Bradley
14 June 2021

Do you sell components?

Lytica is not a component supplier.  We operate independently of suppliers and manufacturers. Lytica has a policy and practice of […]

Written by Shawn Bradley
14 June 2021

Is the data I provide confidential?

Once you’ve registered as a user of our products, you’ve authorized Lytica to include your pricing data in our reference […]

Written by Shawn Bradley
14 June 2021

What is Arbitrage Savings?

Arbitrage Savings occur when all the different prices for a given CPN (Client Part Number) are negotiated to its lowest price. […]

Written by Shawn Bradley
14 June 2021

What is Duplication Savings?

Duplication Savings: Coding duplication occurs when a manufacturer’s part number has been assigned to two different client part numbers. This can […]

Written by Shawn Bradley
14 June 2021

Is file transfer secure?

Customer data and reports can be transferred several ways to ensure security and confidentiality. Uploading customer data through our SupplyLens™ […]

Written by Shawn Bradley
14 June 2021

What is Target Savings?

Identified Target Price Savings indicate the savings to be achieved if the client could achieve the estimated pricing targets calculated for their […]

Written by Shawn Bradley
14 June 2021

What is the confidentiality of data with the Spend Benchmarking plugin?

Your data reveals much about the nature of your supply base and associated procurement costs and thus can be a […]

Written by Shawn Bradley
14 June 2021

What does competitiveness mean?

In our SupplyLens™ applications, Lytica uses the term competitiveness (price competitiveness) or LCI (Lytica Competitiveness Index) to define a quantitative parameter that is calculated based on […]

Written by Shawn Bradley
14 June 2021

How current is Lytica’s database?

Lytica receives new data on a daily basis and the data is time stamped when received. All prices in the […]

Written by Shawn Bradley
14 June 2021

Do you have a method for correcting for distribution mark-ups?

In short, no.  We benchmark our client’s input data at whatever ‘prices’ they provide.  So if their entire spend is […]

Written by Shawn Bradley
14 June 2021

What are the Terms & Conditions?

Prior to any data uploads to Lytica, the user must accept the Terms and Conditions of Use which define how […]

Written by Shawn Bradley
14 June 2021

What is the Manufacturer Rankings module?

We know you need as much supportive data as possible to aid in negotiations for direct materials savings. One piece […]

Written by Shawn Bradley
14 June 2021

How do I edit multiple line item notes in the Spend Benchmarking plugin?

When entering user notes for a particular line item, sometimes entering the same note for multiple line items in Spend […]

Written by Shawn Bradley
14 June 2021

Is the Achieved Pricing data collected in the Spend Benchmarking plugin?

The Achieved Pricing Column is valuable data to you and to us. This feedback of data within Spend Benchmarking assists […]

Written by Shawn Bradley
14 June 2021

How do I know my file is exporting?

Having a visual of what tasks are running on the platform is extremely helpful to be aware of progress. There […]

Written by Shawn Bradley
14 June 2021

How do I navigate to other modules from the Spend Benchmarking Scoreboard?

Please note that this feature will only work on Spend Benchmarking reports loaded into the platform after May 28, 2021.  […]

Written by Shawn Bradley
14 June 2021

Where does Lytica get it’s information?

Lytica is the guardian of the world’s largest, independent source of peer pricing data from our community of benchmarking clients. […]

Written by Shawn Bradley
15 June 2021

If a part doesn’t show in the SupplyLens™ Spend Benchmark plugin or have a price in the Price Estimator plugin, what can I do?

Spend Benchmarking is an assessment that identifies the most outlying priced parts – meaning those furthest from your competitiveness level […]

Written by Shawn Bradley
15 June 2021

How does volume affect Lytica’s Target Pricing methodology?

Bradley’s Law is fundamental to the technology behind Lytica’s products. Lytica has unparalleled visibility into electronic component pricing. As such, […]

Written by Shawn Bradley
15 June 2021

I can’t find certain parts, what parts does Lytica actually provide pricing for?

Lytica provides price guidance on commercially available parts and specifically electronic and electromechanical.

Written by Shawn Bradley
15 June 2021

What is EOL?

End-of-life (EOL) is a term used to indicate that a product has reached the end of its useful life from […]

Written by Shawn Bradley
29 June 2021

What does Single Source mean?

Single sourcing is the result of a very conscious decision usually made by the Procurement or Purchasing department. Only one supplier is awarded […]

Written by Shawn Bradley
29 June 2021

What is Manufacturer Ranking?

Manufacturer Rankings is a list of the manufacturer’s names and competitiveness levels along with the potential qualified spending. This enables […]

Written by Shawn Bradley
29 June 2021

What is Single Source risk?

For CPNs input with only one MPN, our analysis looks to see if other customers using that MPN have second […]

Written by Shawn Bradley
29 June 2021

What is the CPN list?

A comprehensive list of the MPNs and associated details that you’ve uploaded into the SupplyLens reference database for analysis.

Written by Shawn Bradley
29 June 2021

What is Spend Competitiveness?

Spend competitiveness by commodity examines the variation in your component prices to “Best in Class” values. In these calculations, individual […]

Written by Shawn Bradley
29 June 2021