← Back

Elasticity of Your Purchasing

Our ever-evolving world requires us to be dynamic, quick, adjustable, and always think several steps ahead. We plan everything, our lives and careers, investments and leisure, our holidays and workweeks having a larger picture in mind, but being ready to change the direction or adjust our next moves on short notice.

Even more so with our business. We need all of its aspects to be as elastic as possible to be able to react to a sudden surge in customer demand or a slow down in production activity. Nobody wants to lock their money in assets that would be put on the shelf until better times come. And nobody is prepared to tell the customers that their request can’t be met because of planning gone wrong. And we are talking here not only about physical goods lying on stock; but also investments in services that keep your business going.

Take purchasing as an example. As a small or medium enterprise, you might not want to lock your money in a budget planned for a monthly salary of a specialist; you might have months when you don’t buy much and others when you really have to put a lot of effort into finding goods you need for the best prices possible. Can these services be elastic? If you have a full-time employee, it’s definitely inelastic, changes in volume do not have any impact on how much you pay per month; but it can happen that this person won’t be able to handle the surge and would need some help, which would increase your costs either temporary and permanently if you hire more people. It’s a bit different if you have a consultancy helping you out: every single step and volume to be managed is defined in the contract; every increase in volume would increase your fee, a decrease in volume could decrease it, but you would still have to pay an agreed minimum and fulfill other obligations under the contract.

EoS4U offers an alternative that would make your purchasing elastic and flexible. Let’s say you are planning the first quarter of a year: January would most probably be slow, February will start picking up and the surge of activity will fall on March. So, you go for an XS package that includes only 2 managed orders in January, increase to an S Package with 30 orders in February, and plan to move to an XL account with unlimited numbers of orders in March. The plan is perfect, your cost per order falls by approximately 13% in February and might go down 50% or more in March. But suddenly in February, you realize that the market situation is not as you expected it to be and you don’t need to buy anything in March; you came to a standstill and need to re-group. Can you cancel your purchasing activities? Yes, you can, just click a button. Will you have to pay anything? Any running fees? No, you won’t, and you can always come back to the XL Packages or any other package that satisfies your needs when the situation changes.

As you can see, it’s not without a reason that we are called EoS4U, Economies of Scale for You - we are helping businesses to aggregate their demands and get better prices from suppliers, and at the same time we are offering very elastic services and our modest fees are going down with an increase of volume you allow us to handle for you.

EoS4U is happy to help you to remain flexible in the constantly changing world, have control and your costs and save money.