AI-Driven Spend & RFQ Analytics Transforms Procurement for a Leading Automobile Conglomerate
The client is a leading automobile conglomerate manufacturing critical systems and safety components for major global OEMs. With multiple manufacturing units and a vast supplier ecosystem, the organization manages high purchasing volumes, requiring precision, standardization, and deep visibility across procurement operations.
Book a DemoResults & impact
Clear Visibility Into Spend Health
The conglomerate gained transparent insights into procurement efficiency with category-level and supplier-level intelligence.
Increased Supplier Consolidation Opportunities
By identifying fragmented categories and underperforming suppliers, Cognilix enabled smarter consolidation and stronger negotiation leverage.
Reduction in PR–PO Turnaround Time
Insights into order patterns and supplier reliability helped streamline approval cycles and improve operational agility.
High-Quality, Analytics-Ready Data
Data cleansing significantly improved the accuracy of procurement analytics and RFQ comparisons.
Standardized Buying Patterns Across Categories
Categories like DM Water saw immediate refinement through
- Single-source strategy recommendations
- Rate benchmarking
- Supplier performance visibility
Business Challenge
As the business scaled, several procurement inefficiencies emerged:
Sub-Optimal Spend Distribution
Spend was scattered across an unnecessarily large supplier base.
- Key categories were fragmented across too many vendors.
- Negotiation strength was diluted due to lack of consolidation.
Poor Data Quality Affecting Analytics
Cognilix uncovered foundational data issues such as:
- Duplicate product entries
- Missing brand information
- Missing attributes and inconsistent descriptions
- These gaps limited the accuracy of spend analytics, RFQ outcomes, and sourcing decisions.
Limited Supplier Performance Visibility
Supplier behavior lacked structured evaluation due to inconsistencies in:
- Order frequency
- Delivery timelines
- Fulfillment accuracy
Non-Standardized Buying Across Categories
- Certain categories—such as DM Water—showed irregular buying patterns, fluctuating rates, and inconsistent PO cycles, causing operational inefficiencies.
Solution & Execution
Cognilix implemented its AI-powered Spend & RFQ Analytics platform to create a unified procurement intelligence layer for the conglomerate.
Procurement Scorecard Framework
Cognilix introduced a scoring engine that evaluated suppliers on:
- Spend value contribution
- Purchase order volume
- Business percentage
- Performance metrics
Supplier Segmentation & Distribution Mapping
AI-powered insights segmented suppliers based on:
- PO count
- Spend concentration
- Historical performance
- This revealed consolidation opportunities to improve efficiency and control.
Deep Spend Analytics
Cognilix conducted category-wise and supplier-wise spend diagnostics:
- Highlighted over-dependence on select suppliers
- Identified categories with extreme fragmentation
- Delivered trend reports to guide negotiation strategies
RFQ & PO Pattern Intelligence
Using predictive modeling, Cognilix analyzed:
- Delivery timelines
- Historical fulfillment rates
- Order frequency patterns
- This helped benchmark suppliers and improve PR–PO cycle efficiency.
Master Data Optimization
Cognilix executed a complete data hygiene overhaul:
- Removed duplicate product entries
- Standardized item descriptions
- Flagged missing brand and attribute information
- This enabled accurate analytics and reliable sourcing decisions.
Conclusion
Cognilix enabled the automobile conglomerate to shift from fragmented, manually interpreted procurement operations to a strategic, AI-driven procurement model. Through superior data quality, supplier intelligence, and deep spend analytics, the organization now benefits from:
- Smart sourcing decisions
- Improved negotiation strength
- Streamlined procurement operations
- Reliable, real-time insights
- A cleaner, standardized procurement dataset
Cognilix has empowered the conglomerate to move from manual to mindful procurement, unlocking efficiencies and laying a strong foundation for future procurement transformation.
