Manufacturing

Elevate by Principal partners with a GPO that negotiates with suppliers to provide discounted rates that business owners typically can’t obtain on an individual business basis. Business owners benefit from lower costs on goods and services, as well as less time spent trying to negotiate rates.

Is there a cost to join the GPO and/or is there an annual membership fee?

No, there are no costs or joining fees.

Will I be obligated or “locked into” a contract once I get started with the GPO?

There are no requirements for business owners to purchase from specific suppliers. However, you may need to sign an agreement with certain suppliers to receive discounts.

Does Elevate by Principal make money from the GPO?

Yes. When a business owner saves money, Elevate by Principal receives a small percentage of what the business spends with that supplier.

How much could my business potentially save with a GPO?

Savings vary from business to business depending on a variety of factors. It’s possible to save up to 20% on some business expenses.

Is the discount a set percentage per company?

In most cases, there isn’t a flat discounted rate. Discounts/savings will depend on the supplier, the quantities purchased, and existing negotiated rates. Your concierge can help you determine the categories and suppliers where you might save the most.

Are there purchase minimums I need to reach to qualify? What if I don’t meet a minimum for a given category?

A few suppliers have minimum spend thresholds. If you do not meet a particular supplier spend threshold, we can look at other suppliers that might offer similar products or services.

What changes would need to happen to my existing spending (if any) to realize savings?

This will depend on the supplier. Some have escalating/tiered discounts and other pricing structures. Your concierge can help you make this determination.

Are there any other offers or benefits a business owner might get through the GPO?

Yes. For example, suppliers could offer special shipping terms, payment terms could be extended, fees could be waived, and more.

What if my current vendors aren’t offered through the GPO?

You have options. For most categories of spend, there are multiple suppliers. If alternatives are available, we can show you how your current supplier compares with other suppliers that offer the same products and/or services at potentially lower costs. Then you can decide if you want to take advantage of those savings by changing providers—no pressure.

Will I still be able to purchase from my existing suppliers if I join the GPO?

You always have a choice. We’ll start by looking at opportunities to utilize existing suppliers if they are part of the GPO. If your existing suppliers don’t currently participate, there may be an opportunity to save on the same or similar products or services by switching to a GPO supplier. You’re always free to purchase from your existing suppliers, GPO suppliers, or a mix of both.

Will I have specific contacts at each company I want to work with, and will I contact them directly to find discounts?

Your concierge will take the lead to understand where there may be savings opportunities for you. This can take place through conversations, or you can simply share your annual spend (accounts payable) details. Once we have identified a savings opportunity, there may be steps to activate the savings with the suppliers. We work hard to make the process as easy as possible.

If I choose to provide my accounts payable/expense data, how will it be used?

You may make hundreds or even thousands of purchases throughout the year across a variety of categories. With visibility to the big picture, we can help you discover potential savings through GPO contracts as well as other opportunities, such as technology updates, supplier consolidation, or streamlined procurement processes.

How do you handle data/privacy concerns?

When you trust us with your personal information, we take that seriously. Our file transfer system uses secure protocols and encryption to safeguard your data, and we adhere to strict privacy principles. For more information about how we protect and secure your information, please see our privacy policy.

How will I place orders utilizing the GPO? How much time and administrative work is involved?

In most cases, you will place orders the same way you do today. We’ll work with you to get the discount applied to your orders with limited to no administrative work on your end.

What’s the onboarding process to start utilizing the GPO and how quickly can I start saving?

Once you’ve registered to participate, we’ll ask you to provide your top non-personnel spends through conversation, or you can simply share your annual spend (accounts payable) details. Then your concierge will research available savings opportunities and walk you through the results. As soon as we get the discount in place, you can begin saving on future purchases.