AI-assisted Tail Spend Analysis: Digitally Transforming Procurement for Life Sciences
Procurement
March 11, 2022

AI-assisted Tail Spend Analysis: Digitally Transforming Procurement for Life Sciences

$2.5M
Savings
100%
Extraction
80k+
Documents

"A leading BPM company offering services to a Europe-based Life Sciences client needed to optimize procurement management and supplier negotiations."

Business Vision

To replace a manual, time-intensive process with an AI-based self-serviceable data analytics platform for automated extraction and analysis.

Challenges

Format Chaos

Thousands of quotations from 400+ suppliers in different formats (PDF, Image) and languages created a barrier to analysis.

Lack of Standardization

Data silos prevented optimized procurement, leading to lost opportunity costs and minimal savings.

Manual Bottlenecks

Existing processes involved extracting data into spreadsheets line by line, failing to keep up with the pace demanded.

Solution Approach

  • AI Extraction Model: Developed using DS Integrate to specifically annotate and extract 100% of required transactional data.
  • Big Data Knowledge Storage: Transformed unstructured inputs into a unified knowledge storage for pattern analysis.
  • Predictive Analysis: Implemented models to analyze pricing correlations across years and suppliers for negotiation intelligence.
  • Self-Service Training: Designed for sustainability, allowing teams to train the model on new suppliers without code.

Value Delivered

1

$2.5 million+ in savings achieved within just 3 months of deployment

2

100% accuracy in transactional data extraction from over 80,000 documents

3

Standardized analysis across 400+ suppliers, tapping the best fits for every project

4

Drastically reduced time-to-insight for procurement teams from weeks to minutes

5

Improved the opportunity success rate through robust Tail Spend Analytics

Fast Facts

TechnologiesDS Integrate AI, Big Data, Self-Service ML
Engagement ModelUnstructured Data Transformation
Key ImpactMulti-Language Support (4+ Languages)

Conclusion

DataSwitch's no-code AI offerings saved the day, helping the client stay abreast of digital transformation and becoming the go-to partner for complex data extraction.

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