IT Vendor Management

Building a win-win relationship with your IT vendors has always been key to the successful delivery of IT services across your enterprise. Now as cloud alternatives become business reality, vendor management and optimization has reached new levels of importance.

Today's enterprise IT organizations know that successful vendor relationships require careful attention to key financial and value processes. With a common view of the facts, both IT organizations and their vendors can have confidence that expected business results are being delivered.

Drive Greater Results from Your IT Vendor Relationships

Digital Fuel's IT Financial Management (ITFM) IT Vendor Management is a SaaS business application that provides a control mechanism for vendor agreements, enabling you to proactively govern contractual commitments. It offers detailed visibility into continual vendor charges by automatically tracking, managing, and validating invoices as well as credits and earnbacks while mapping to vendor performance and value delivered. You can also easily compare different vendors and options to find the most cost value effective solution for your company. Using IT Vendor Management, you are able to compile the right financial information quickly, while both saving time and avoiding errors and omissions that can occur with manual processes and spreadsheets. With this trusted source of information, you cultivate a collaborative relationship in which both parties win.

The Value of IT Vendor Management

• Reduce cost of manual error prone efforts
• Reduce IT spending by identifying the best cost/value alternatives
• Improve quality of services

Key Capabilities

• Automatically track and manage all invoices received from vendors on an ongoing basis to better understand the spending patterns of the enterprise
• Validate invoices against contract terms and actual spending, as well as map to service performance and value metrics
• Share performance-based credits and earnbacks with your vendors so they can proactively avoid performance penalties and attempt to reach the performance goals needed for earnbacks
• Proactively track actual versus budget trends to identify potential overruns and their causes
• Visually map actual usage of services to specific business units, P&L centers, and geographies, while compiling chargeback audit trails for tax and regulatory compliance purposes
• Compare alternative options and benchmark pricing so that contract pricing can be adjusted when applicable
• Monitor SLA and KPIs defined in the vendor contract to ensure you are receiving the appropriate value for vendor services rendered, as well as for financial management purposes

Sample of Out-of-the-Box Reports

• Vendor management dashboard provides a bird's eye view across all suppliers, including key statistics such as the worst 5 KPIs
• Vendor dashboard provides more detailed information for a specific supplier, such as top 5 breaches by performance, top 5 KPIs, year-to-date credits
• Balanced scorecard showing risk, performance, contract issues, and charges
• SLA compliance report summarizes all the compliance information for a specific SLA
• Credits report summarizes credits information for a specific SLA
• Earnback report summarizes earnback information for a specific SLA
• Forecasting reports provides forecast information for KPI performance, credits, and earnbacks
• Audit reports allow vendor managers to review and change results

IT Vendor Management Process Flow Diagram

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IT Vendor Management Screenshots

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