Group Purchasing Organization (GPO) is an entity that aggregates the spend of all its members to drive lower pricing and establishing contracts with vendors to not only achieve preferred pricing but also accomplish better payment terms and service standards. When you join a GPO, they will aggregate the goods and services you buy with that of other buyers and negotiate for discounts and rebates on your behalf. You can significantly reduce the cost of operation, speed up procurement time and efficiency, and enjoy lower transaction processing cost by joining a Group Purchasing Organization.

Group purchasing organizations use the purchasing intensity of a range of businesses that result in higher cost savings that are not attainable by most individual companies.

Unleashing Synergy: The Power of Aggregation

In today's competitive landscape, businesses are constantly seeking ways to optimize costs and maximize value. One strategy that has gained significant traction is the use of Group Purchasing Organizations (GPOs). Essentially, GPOs leverage the collective buying power of their members to negotiate better deals with suppliers. This translates to lower prices, improved terms, and access to a wider range of goods and services.
But what if your organization doesn't have the volume or leverage to qualify for GPO membership? That's where aggregation using DSSI comes in. DSSI pools demand from multiple organizations and presenting it as a single, larger entity to suppliers. This effectively grants even smaller organizations access to the benefits of group purchasing.
DSSI has experienced team of category managers and a culture that focuses on a pro-active approach to support the procurement strategy and sustain long-term value. As a client, you can focus on your direct material sourcing activities while confidently knowing that DSSI is sourcing your indirect goods and services. Our category managers perform the following essential functions:
  • Understand and know the stakeholders
  • Exhibit strong knowledge of their respective categories
  • Drive performance and deliver results

Understanding the Advantages:

  • Enhanced Cost Savings: The core advantage of aggregation is cost savings. Utilizing DSSI's aggregation approach, organizations can unlock significant discounts on various goods and services, from office supplies and technology to various other indirect categories. These savings can directly impact the bottom line, freeing up resources for investment in other areas.
  • Streamlined Procurement: Managing multiple suppliers and contracts can be a time-consuming and complex process. DSSI offers streamlined procurement solution, including standardized terms, online ordering platform, and consolidated invoicing. This reduces administrative burden and allows organizations to focus on their core competencies.
  • Improved Market Access: Smaller organizations might struggle to get the attention of major suppliers. DSSI's aggregation approach bridges that gap, giving its clients access to a wider range of products and services, often at better terms and conditions. This expands their procurement options and fosters innovation.
  • Expertise and Insights: DSSI's category managers and purchasing professionals have deep industry knowledge and expertise. They leverage this expertise to negotiate favorable contracts, identify emerging trends, and stay ahead of market fluctuations. This valuable information can inform strategic decision-making within member organizations.

Choosing the Right Path:

Deciding between joining a GPO or utilizing an aggregator depends on your specific needs and circumstances. Consider factors like:
  • Your organization's size and buying power: If you have significant individual volume, a traditional GPO might offer the best value. For smaller organizations, aggregators like DSSI can be a more viable option.
  • Industry focus: Some GPOs specialize in specific industries, offering deep expertise and targeted solutions. Consider whether an industry-specific GPO aligns with your needs.
  • Service offerings: Evaluate the additional services offered by GPOs and aggregators, such as contract management, data analytics, and compliance support. Choose the provider that aligns with your priorities.