--- title: "356,000 reasons to boost efficiency" description: "Reducing the purchasing cycle has hidden cost-savings benefits. How efficiency gains saved an organization from throwing labor dollars" image: https://www.fraxion.biz/hubfs/brainstorming-colleagues-conversation-1260308.jpg canonical: https://www.fraxion.biz/blog/356000-reasons-to-boost-efficiency url: https://fraxion.getmd.ai/blog/356000-reasons-to-boost-efficiency.md last_converted: 2026-09-16T01:30:55.104Z --- ```json { "@graph": [ { "@type": "BlogPosting", "@id": "https://www.fraxion.biz/blog/356000-reasons-to-boost-efficiency#article", "url": "https://www.fraxion.biz/blog/356000-reasons-to-boost-efficiency", "mainEntityOfPage": { "@id": "https://www.fraxion.biz/blog/356000-reasons-to-boost-efficiency#webpage" }, "isPartOf": { "@id": "https://www.fraxion.biz/blog#blog" }, "headline": "356,000 reasons to boost efficiency", "name": "356,000 reasons to boost efficiency", "inLanguage": "en", "datePublished": "2018-09-06T21:02:00Z", "dateModified": "2022-04-11T14:50:32Z", "description": "Reducing the purchasing cycle has hidden cost-savings benefits. 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Fraxion pulls in all the details—prices, quantities—so it's much easier to spot mistakes. It's made my job so much easier.", "reviewRating": { "@type": "Rating", "ratingValue": "5", "bestRating": "5", "worstRating": "1" }, "datePublished": "2026-03-12", "author": { "@type": "Organization", "name": "G2" }, "publisher": { "@type": "Organization", "name": "G2" } } } ] } ``` [Home](https://www.fraxion.biz/) / [Blog](https://www.fraxion.biz/blog) / 356,000 reasons to boost... Spend management # 356,000 reasons to boost efficiency [Elizabeth Cattanach](https://www.fraxion.biz/blog/author/elizabeth-cattanach) Sep 6, 2018 ![brainstorming colleagues conversation 1260308](https://www.fraxion.biz/hubfs/brainstorming-colleagues-conversation-1260308.jpg) ## The AHA! Moment: How efficiency impacts labor savings Reducing the purchasing cycle has a hidden cost savings benefit you shouldn’t ignore—labor. We’ve covered the fact that implementing a cost containment strategy can boost organizational efficiency and reduce the purchasing cycle by 30%. That in itself is a substantial benefit. While immediately saving your purchasing manager critical time is measurable, we’re thinking bigger. When paired with an overall cost containment strategy it can be a source of significant savings. ## The savings impact Now let’s explore that concept a different way—as an example of real world savings. Brad, a longtime Fraxion customer, who shared this quote with us: “We were able to start with the system with only 10 users and it has easily scaled with us to almost 400. It’s allowed us to save at least 4-5 jobs in purchasing.” Brad P., Manager of Master Data. Not only was the software able to scale the organization’s increasing needs, but they were able to save 4-5 positions in purchasing. This isn’t the dreaded labor reduction conversation, but quite the opposite. The efficiency gains saved their organization from throwing additional labor dollars at the purchasing process to get ahead of its needs. Instead they used spend management software to improve their effectiveness and reduce the demand on the purchasing department. So as they scaled from 10 users all way up to 400 users they were able to sustain the purchasing department without equally increasing the number of employees. ## Moving the profitability needle In Brad’s case, he was able to save 4-5 positions. How much savings is there if your organization avoided needing to hire 5 purchasing positions? When you look at an industry average salary the savings potential becomes very clear. We averaged the estimated salaries (US) of support staff, purchasing administrators and managers and used that number to illustrate the savings that 5 positions would yield. ## $71,300/yr purchasing department average salary x 5 employees= $356,500/yr That’s $356,500 dollars annually that can now be redirected at increasing the organization’s profitability. Stop using labor dollars as a way to patch inefficient purchasing processes. Instead, it’s time to shift the conversation towards a sound cost containment strategy. Get the tools your organization will need to boost efficiency, save time and improve compliance. The results speak for themselves. If your organization is still asking if it *needs* spend management software the answer is simple—yes. I can think of 356,000 reasons why. [Spend management](https://www.fraxion.biz/blog/tag/spend-management) [Procurement](https://www.fraxion.biz/blog/tag/procurement) [Purchasing](https://www.fraxion.biz/blog/tag/purchasing) [eProcurement](https://www.fraxion.biz/blog/tag/eprocurement) Spend management ## Similar posts Spend management ### How indirect procurement solutions help maximize business savings Learn how you can maximize business savings with these trusted strategies and advanced indirect procurement solutions. Stanton Jandrell Sep 22, 2020 Spend management ### 8 benefits of automated approval workflows for purchasing and expenses in 2026 Discover how automated approval routing software can optimize your purchasing process, enhance transparency, and drive cost savings with improved... Stanton Jandrell Dec 7, 2025 Spend management ### Government procurement challenges and how cloud spend management can solve them in 2026 Transform public sector procurement with cloud-based spend management software to enhance transparency, compliance, and efficiency, while reducing... Stanton Jandrell Dec 8, 2025 ### Subscribe for updates and spend management insights Get our latest content, updates, and how-to resources delivered to your inbox. ## See how Fraxion enables complete spend visibility and control Book a demo to see how Fraxion can assist your organization. [Book a demo](https://www.fraxion.biz/get-a-demo) ![Fraxion invoice approval on a laptop and the mobile dashboard on a phone](https://www.fraxion.biz/hs-fs/hubfs/website%20rebrand%202026/blog/blog-cta-laptop-phone.webp?width=1296&height=810&name=blog-cta-laptop-phone.webp)