Post merger, Ricoh was faced with the challenge of reducing expenses, consolidating vendors and renegotiating existing agreements while increasing their network bandwidth.
They looked to Cannon Group for assistance with sourcing in order to ensure they were getting leading-edge pricing and contract terms — and to achieve the above with minimal operational and financial risk.
Cannon Group experts created a baseline spend by gathering and summarizing all contract data and creating a contract timeline of all key agreements.
Cannon Group conducted a competitive assessment and was able to provide Ricoh with intelligence on a short list of vendors to be considered based on experiences with services, rates, terms and pricing. After summarizing the bid responses and making the recommendation, Cannon Group handled all contract negotiations with the winning bidder.
Along with more flexible contracts, competitive rate reviews and term volume commitments for procurement leverage, Cannon Group experts were able to realize price reductions of 28 percent on current services within the scope of the RFP.
But Cannon Group’s biggest achievement was earning more than $2.2 million in savings while simultaneously negotiating exponentially more network bandwidth.