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Procurement Cost as % of Revenue

Purpose -

Evaluates procurement efficiency in relation to revenue.

Operational Definition -

(Total Procurement Costs / Total Revenue) * 100

Type of Metrics -

KPI

Function -

Finance

Associate Function -

Finance

Desired Trend -

Lower the better

Recommended Frequency - 

Monthly

External References -

https://precoro.com/blog/procurement-kpis-metrics/

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