Wholesale electricity prices reached record highs in 2019. Such volatile electricity prices have thrown conventional wisdom, like ‘when is a good time to go to market’ out of the window. Category managers are wondering how/where/when to tell the boss.
Here are eight tips to help you gain control of the agenda:
1. Recast your budgets by marking to market. Averages won’t do – site-based bottom-up forecasts of the commodity price environment and network are needed to show the business and departmental impacts.
2. Socialize with finance, executive property, and business units. Get them adjusted to what is coming.
3. Review your portfolio for cost reduction opportunities in price usage and demand – to lessen the impact.
4. Identify the constraints that are causing your organization to keep buying in the same old way – and eliminate them.
5. Develop an agile sourcing strategy. It varies organization
6. Get your data up to date – and keep it updated.
7. Track the market with live feeds to your budgeting system – keep your executive team informed.
8. Implement your sourcing strategy – track and repeat.
BidEnergy uses Robotic Process Automation (RPA) to keep many large customers just like you in control of their energy spend.