Exam C_TS452_2022 Topic 1 Question 64 Discussion
Actual exam question for SAP's C_TS452_2022 exam
Question #: 64
Topic #: 1
Question #: 64
Topic #: 1
You want to identity the spend of purchase orders that do NOT have a contract reference, although an existing contract could have been used. What key performance indicator (KPI) provides this information?
Suggested Answer: A Vote an answer
Explanation
Contract leakage is a key performance indicator that measures the percentage of purchase orders that do not have a contract reference, although an existing contract could have been used. It indicates how well the procurement organization is utilizing its contracts and avoiding unnecessary spending. Off-contract spend is a similar concept, but it measures the absolute value of purchase orders that are not covered by contracts.
Unused contracts are contracts that have not been used at all or have been used below a certain threshold.
Purchase order value is the total value of purchase orders created in a given period. References: [SAP Help Portal], [SAP Help Portal], [SAP Help Portal], [SAP Help Portal]
Contract leakage is a key performance indicator that measures the percentage of purchase orders that do not have a contract reference, although an existing contract could have been used. It indicates how well the procurement organization is utilizing its contracts and avoiding unnecessary spending. Off-contract spend is a similar concept, but it measures the absolute value of purchase orders that are not covered by contracts.
Unused contracts are contracts that have not been used at all or have been used below a certain threshold.
Purchase order value is the total value of purchase orders created in a given period. References: [SAP Help Portal], [SAP Help Portal], [SAP Help Portal], [SAP Help Portal]
by Emily at Nov 30, 2023, 05:47 PM
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