There are five strategies to minimize purchasing and procurement costs:

• Automate procurement and purchasing processes.
• Improve the co-operation with the suppliers.
• Centralize procurement and purchasing.
• Increase the share of total spend that is under the purchasing function's control.
• Use alternatives from low cost countries.

CTM provides solutions for the first and most basic strategy, to automate procurement and purchasing processes. This gives the foundation to start working with the other strategies.