HyperFiber is a telecommunications company specializing in building and providing affordable internet access. The organization takes a unique AI-powered approach to overseeing construction costs, engineering expenditures, and materials for network development. This allows them to incur significantly lower construction expenses, enabling the provision of reliable, high-speed internet services at an affordable rate.
The challenges
HyperFiber’s core mission is to deliver affordable internet, and achieving this relies heavily on managing construction costs effectively. However, their manual purchasing process — done through emails and spreadsheets — created bottlenecks in approvals and a lack of visibility into purchases. This resulted in overstocking of materials, driving up costs and hindering their ambitious expansion plans.
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Lack of visibility led to unnecessary stockpiling, increasing costs
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Time-consuming manual purchasing and approval processes were slow and error-prone
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Procurement processes could not scale to support their ambitious expansion plans from one to five states
The solution
Recognizing the limitations of their manual processes, HyperFiber reached out to Procurify to help streamline operations and keep costs in check. In doing so, they reduced approval times from weeks to minutes and achieved significant savings to help fuel their lofty goals.
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Reduced costs: Real-time spend visibility and control has eliminated the unnecessary stockpiling of materials, reducing the inventory holding period from 4-6 months to 5 weeks and saving HyperFiber an estimated $90,000 a week.
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Improved efficiency: Procurify helped streamline purchasing workflows, with efficiency features such as PunchOuts and automated three-way matching injected throughout HyperFiber’s procure-to-pay workflows. Approval times were slashed from a month to minutes.
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Accelerated expansion: More proactive spend management has freed up capital for HyperFiber to fuel their ambitious construction projects and accelerate expansion across new markets. With scalable procure-to-pay processes, HyperFiber will only need a single procurement manager versus the previously projected three per state.
Takeaways
The transformation of HyperFiber’s procurement strategy through Procurify not only streamlined its operations but also catalyzed its growth. Today, HyperFiber is thinking big. They’re building a vast 3-million-foot network, ensuring fast and affordable internet access across five states, all while maintaining a zero-churn rate. These ambitious goals hinge on one crucial element: strategic spend management. As Mark Bemis, HyperFiber’s VP of Finance put it:
“The commitment to zero churn is challenging, but we believe that by controlling costs, using tools like Procurify to manage spend, and delivering excellent service, we can achieve it.”
