The end of 2024, the budgeting period, and the expiration of framework agreements present numerous challenges for companies.

Inflation in Poland in September was 4.9% year-on-year, which also affects the operating costs of both small and large businesses, particularly in the areas of purchasing and contracts with suppliers. High prices of raw materials, energy, and transportation require companies to pay special attention when planning expenditures for the upcoming year.

What can we do right now?

Renewing framework agreements with suppliers—these are most often concluded for a period of 12 months and expire at the end of the year. The prices of raw materials, materials, and transportation costs can change dynamically, which affects the terms of agreements made with manufacturers/suppliers. Early planning of the entire purchasing process will allow for better preparation for negotiations with contractors, which will have a direct impact on the outcome of our discussions. Companies that implement effective renegotiation can gain a competitive advantage in the coming year.

Optimizing operational costs—in the current economic situation, cost pressure is a top priority; it is no longer an option but a necessity. Identifying areas within companies, such as analyzing contracts with contractors and incurred expenses, significantly contributes to achieving substantial savings without compromising quality.

Automation and streamlining processes—analyzing existing purchasing processes can reveal inefficiencies that not only increase costs but also slow down the company’s operational activities. In times when every percentage of costs matters, automating and streamlining purchasing processes and managing supplier relationships can enhance operational efficiency.

Now is a good time to take action to prepare the company for the next year and secure its competitive position. Optimizing purchases and effectively managing contracts is key to increasing profitability and operational stability.