Hedge Fund Realizes Operational Efficiencies and Over $215k in Annual Savings With Concertiv's Procurement-as-a-Service

Key Takeaway:

• A leading hedge fund was struggling to manage its exchange feed and workstations deployment effectively and efficiently.
• Concertiv implemented its Procurement-as-a-Service solution to reduce spend, optimize the procurement process, and save the client valuable time, amounting to $215,000 in savings per year.
• Through these initiatives, the firm is now accurately paying for its usage and needs, while also removing the burden of managing invoice reconciliation, licensing, and entitlement management.

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Overview:

A leading hedge fund was struggling to manage its exchange feed and workstation deployment effectively. The CFO’s office lacked the proper expertise and time to manage the vendors and unique contract terms both effectively and efficiently.

Facing escalating costs, increasing administrative complexity, and minimal time to properly manage it, leadership decided to outsource their procurement strategy. The firm went in search of industry experts who had the experience and expertise to properly manage their vendors, reduce spend, and free up time for the CFO.

Our immediate plan of attack:

As part of the Concertiv onboarding process, the team began the engagement by centralizing all the vendor information including contracts, contract terms, users, prior invoices and product descriptions. Armed with an understanding of each unique vendor and contract, the Concertiv team began tracking down paperwork, reconciling all invoices, and identifying active users to uncover potential savings from billing errors, overlapping, or underutilized subscriptions. This included the following:

• London Stock Exchange – identified product scope, term dates, and recommended budget.
• NASDAQ – provided product description to reconcile invoices and identified end users to confirm ongoing need.
• NYSE – reconciled invoices to ensure that FactSet was not double charging for data feed access.
• TMX Datalinx – provided detailed feed descriptions for Canadian exchange products.
• Options Price Reporting Authority –  tracked down subscription details and confirmed that the firm does not double pay.
• Spryware – collected contract information and product description for exchange feed normalizing software.
• Confirmed with all exchanges that firm was not being over billed.

Results:

Within the first year, Concertiv was able to deliver $215,000 in recurring annual savings, without any disruptions or changes in workflow for the investment team.  The first quarter’s time saving for the CFO to conduct such a thorough audit was over 75 hours of one-off savings. The ongoing time savings from monthly, quarterly, and annual invoice reconciliation, licensing and entitlement management, and managing renewals amount to over 250 hours of savings per year for the CFO’s office.

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Interested in learning more about procurement-as-a-service for your firm?  

Learn how leading firms are partnering with Concertiv to reduce spend, minimize risk, and save time across key spend categories.