Impact of eProcurement

Revenue $1,000M

- COGS 400M

Gross Margin 600M

- Labor 200M

- Oper Resources 270M

Net Income $130M(before taxes) 

(10% reduction)

(30% increase)

Revenue $1,000M

- COGS 400M

Gross Margin 600M

- Labor 200M

- Oper Resources 270M

Net Income $130M(before taxes) 

When used to buy operating resources, eProcurement can make a substantial earnings impact, at very little risk.

Revenue $1,000M

- COGS 400M

Gross Margin 600M

- Labor 200M

- Oper. Resources 300M

Net Income $100M(before taxes) 

Before

After

(all figures are in $USD 1,000s)

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