Utility Savings Tracking and Contract Compliance Case Study

Case studies

SCP

Utility Savings Tracking and Contract Compliance Case Study

Case study showing how a U.S. utility identified 12% average contract price variance and recovered savings through P2P compliance tracking.

Published

June 4, 2026

Read time

3 min read

Source

A large U.S. utility engaged GEP to detect savings leakage in its Procure-to-Pay process. Analysis of purchase orders, accounts payable, and contract pricing revealed that 50% of transactions exceeded contracted prices by an average of 12%. The project also uncovered missed early-payment discounts averaging 2% due to process gaps. Root causes were isolated and corrected, producing 42% identified savings in the pilot category.

Key takeaways

50% of transactions exceeded contracted pricing with 12% average variance

Missed payment-term discounts reached 2% due to administrative gaps

PO, AP, and contract data comparison exposed overpayments and underpayments

Strategic sourcing requires ongoing compliance tracking to realize savings

Pilot category validation enabled scalable savings measurement processes

Market overview

SCR methodology note

Vendor landscape

Leaders

Implementation considerations

Important consideration

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