SOW LONG, FAREWELL: REPLACING A HEALTH CARE IT COMPANY’S
INEFFICIENT SOW PRACTICE

ROI Facts

• Automated and formalized process that ensures consistent and timely supplier payments
• Adoption grew from 3 to 32 suppliers in less than 6 months
• $10 Million to $40 Million growth in active projects managed globally
• Savings and structure with ability to see where all supplier spend is coming and going

The Dilemma

Statement of Work (SOW) practices can become overwhelming and outdated very quickly. And the bigger the company, the worse it is. No truer was this than for Yoh’s client, a giant in the health care IT space, whose SOW services lacked any visibility or insight into spending, sourcing and performance metrics.

The Strategy

Yoh completely redesigned the way the company handled its SOW practices. Everything was brought into the digital age and into one central location so managers and leadership could see spend and results immediately. And for a client of this size, starting off slow was the only way to go. First introducing the three top IT suppliers into the program, Yoh eased client concerns about supplier adoption and reservations about adding another tool to the budgeting process. Six months later, Yoh was managing 32 suppliers and counting. That’s quite a jump from the 3 that were in place at the beginning.

The Impact

Yoh took what was once a clunky and disorganized process and set up a standardized and automated SOW process leveraging VMS functionality. Mangers now had visibility and control over spend and approval chains. Procurement was free to focus on more strategic responsibilities. Rogue spending had been eliminated and non-preferred/non-essential suppliers were optimized. With consistent on-time payments via an automated invoice process, suppliers were happier too.