Solenis
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Procurement Intelligence Value Assessment

Solenis · $9B Combined Enterprise · 12 value levers · 8 independent industry benchmarks
Prepared exclusively for Solenis

Spend Inputs

Configurable
Annual Spend by Category ($M)
Direct Materials Hackett $9.2M/$1B
$
$0$3B$6B
Indirect & MRO Gartner 3–5%
$
$0$1B$2B
Logistics & Freight Hackett $2.1M/$1B
$
$0$500M$1B
Services & Labour McKinsey 1–2%
$
$0$500M$1B
Payment Terms
DPO Extension Target (days) Hackett: 11-day gap
10 days
1 day10 days20 days
Cost of Capital (%) PE-backed: 6–8%
6.5%
3%7.5%12%
Year 1 Realisation
Recovery Rate Ardent: 15–20%
17%
10% conservative30% aggressive
Active Levers
CONTRACT COMPLIANCE
Formula Pricing Compliance
Hackett + APQC benchmarks
Rebate & Renewal Recovery
Gartner 3–5% indirect
Rate Card & Amendment
WorldCC 9.2%
SOW & Compliance
McKinsey services benchmark
PAYMENT TERMS & WORKING CAPITAL
DPO Optimisation (P&L benefit)
Hackett DPO gap benchmark
Working Capital Release
$10.96M freed per 1 day on $4B
SUPPLY CHAIN LEAKAGE
SLA & Non-Performance Penalties
Aberdeen: 78% never claimed
Incoterms Mis-Billing
Hackett: $2.1M per $1B logistics
Force Majeure Credits
WorldCC: unclaimed in 67% of events
Take-or-Pay Shortfall Credits
WorldCC: claimed <20% of cases
FX / Currency Clause Compliance
Chatham: 15–20% non-compliance
Warranty & Defect Charge-backs
McKinsey: 1.2% of direct materials
All benchmarks: WorldCC, McKinsey, Hackett Group, Gartner, APQC, Aberdeen Group, Ardent Partners, Chatham Financial. No CLM vendor data used.
P&L Exposure
—
Annual leakage
Year 1 P&L Recovery
—
Ardent 15–20%
Working Capital Freed
—
Balance sheet impact
Steady-State Annual
—
McKinsey 1–2% rev
Working Capital Freed
$110M
Balance sheet improvement
Annual P&L Financing Benefit
$7.2M
At 6.5% cost of capital
$4B ÷ 365 × 10 days = $109.6M freed  •  $109.6M × 6.5% = $7.1M annual P&L benefit

Leakage by Lever — Exposure vs Year 1

Live
Remaining Levers — Annual P&L Exposure Exposure Year 1 recovery
TOTAL P&L EXPOSURE
—
Lever Source Exposure Year 1 Steady-State
Working Capital (balance sheet, not P&L) — — Ongoing
TOTAL P&L — — —
Phase 1 · 0–90 days
—
Foundation wins
Phase 2 · 90–180 days
—
Full intelligence live
Steady-State · Year 2+
—
Agentic operations
Benchmark Sources (non-CLM-vendor)
WorldCC 2023
9.2% contract value leakage
McKinsey
1–2% revenue recoverable
Hackett Group
$9.2M per $1B + 11-day DPO gap
Gartner
3–5% indirect spend leakage
APQC
8.5% invoice error rate
Aberdeen Group
348% Year 1 ROI · 78% SLA unclaimed
Ardent Partners
15–20% Y1 realisation rate
Chatham Financial
15–20% FX clause non-compliance
Ready to validate these numbers on Solenis' own contracts?
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