You want to identity the spend of purchase orders that do NOT have a contract reference, although an existing contract could have been used.
What key performance indicator (KPI) provides this information?
You want to identity the spend of purchase orders that do NOT have a contract reference, although an existing contract could have been used.
What key performance indicator (KPI) provides this information?
The key performance indicator that identifies the spend of purchase orders that do not have a contract reference, although an existing contract could have been used, is 'Contract leakage'. This KPI specifically measures the amount of spend that occurs outside of established contracts, which aligns with the scenario described in the question.
B is the correct answer
B is the correct answer
is the correct answer
You can identify the spend of purchase orders that do not have a contract reference, although an existing contract could have been used. As a purchaser, you are interested in finding out the related net value. You can use Contract Leakage to find out the amount of purchases made without considering existing contracts.
It has a contract. So the contract is leaking...Duh!
I meant B...Ehm, sorry! XD