Frequently Asked Questions
How do I reset my password?
I don't know which analysis method to choose, what should I do?
In the PO Procurement Details screen, when you specify a part number that you want to analyze, you’re provided with a button to “Choose Report.” On that screen, clicking “New Report” results in a dropdown list – at the bottom is an option titled “Help Me Choose.”
Choosing this item starts the “Method Wizard” which will help you decide what report type to choose.
I need to analyze a similar-to item, but don't see that as an option. Does SpendLogic work for this type of analysis?
Yes. In each analysis method (i.e. Competitive, Historical, etc.) SpendLogic walks through the steps to adjust the basis price for differences in market conditions, complexity, or other differences. The screens where this occurs, by analysis method, are listed below:
- Competitive: Bid Details screen
- Historical: Complexity Adjustment Screen
- Market Comparables: Market Comparables Screen
- Parametric: Complexity Adjustment Screen
- Published Price List: Complexity Adjustment Screen
How often are the escalation indices updated?
How is future escalation calculated?
I have a price analysis completed, but now what?
When you’ve completed the price analysis, what you really have is the maximum price that you would be willing to settle at in price negotiations. With price analysis in hand, your next steps should be to…
- Create a “first offer” position that leaves you room to negotiate up to the price analysis value
- Start negotiations
- Ask for additional supporting data if the supplier does not respond with an acceptance of your offer
I'm unable to negotiate down to the price that SpendLogic says is fair and reasonable. Now what?
Before proceeding, consult your company’s policies and procedures as to how to proceed in this situation. Most companies have a set of documentation that is required to be filled out if negotiations cannot result in a price that is determined “fair and reasonable.”
While the objective of price negotiations is to obtain a price that is “fair and reasonable,” the inability to do so does not preclude you from placing the purchase order. It’s important to document this fact – RESIST THE URGE TO CHANGE YOUR PRICE ANALYSIS SO THAT IT MATCHES THE SUPPLIER’S FINAL PRICE!
If the supplier’s “best and final offer” is higher than that which you’ve determined “fair and reasonable,” then there are a couple courses of action you could take:
- If the supplier provided additional information during negotiations that would impact your price analysis, then create a revision to your analysis to include this information. Make sure that this is also discussed in your internal negotiation notes so that an auditor sees proper date alignment between the price analysis and negotiations.
- If no additional data was provided that would impact your price analysis, then it’s important that you have a complete record of all the offers that changed hands during negotiations. An auditor will want to see that you set forth a reasonable effort to negotiate and that in the end, the price offered is “best obtainable.” If this is the case, refer to your company’s policies and procedures for specific documentation requirements. Typically, this will require that authority to proceed is provided by Management.
- The easiest way to contact us is by using SpendLogic’s built-in chat tool. However, if you prefer, here are some other ways to contact us.
- Email: [email protected]
- Or use the help request form below:
Competitive Price Analysis (Lowest Price)
Competitive Price Analysis (Best Value)
Historical Price Analysis Reports
Market Comparables Analysis Reports
Published Price List Analysis Reports
Parametric Analysis Reports