Uncovering Over $100 Million in Lost Discounts

One of the most eye-opening projects I tackled at Harvest Sherwood Foods was digging into our vendor payment practices. The CFO wanted to know if we were paying our vendors within the negotiated terms and, crucially, if we were taking advantage of early payment discounts. I took it upon myself to find out.

Using the unified data system I'd built, I delved deep into the payment records. What I found was startling: over 60% of the time, we were paying within the discount window of our negotiated terms. But here's the kicker—in more than 80% of those cases, we weren't actually taking the discounts. This oversight was costing us over $100 million in potential savings in just one year.

I didn't take these findings lightly. I knew that presenting such significant numbers required airtight validation. I cross-referenced everything, double-checked the terms, and made sure the data was solid. Confident in the results, I brought this to the finance team expecting them to jump at the opportunity.

Instead, I hit a wall of skepticism and resistance. They questioned the accuracy of the data and were hesitant to accept that such a significant oversight could exist. It was a tough pill to swallow, realizing that not everyone is ready to embrace change, even when the benefits are crystal clear.

This experience was a turning point for me. It underscored the importance of not just finding problems but also effectively communicating solutions and building consensus. I learned that driving change requires persistence, patience, and the ability to navigate organizational dynamics.

In the end, while the immediate action wasn't what I had hoped for, the groundwork was laid. The data was there, the potential savings were identified, and I had done everything in my power to spotlight a massive opportunity. It reinforced my belief that sometimes, being a catalyst for change means pushing forward even when the path isn't smooth.