Procurement · NetSuite TD3016323

Vendor Spend Analysis

Twelve months of vendor spend by tier, category, and terms, with concentration risk, purchase order coverage, and the savings that are and are not available in a supplier base this concentrated.

Prepared 2026-09-23 · Trailing twelve months, all subsidiaries · Source: NetSuite via SuiteQL · Prompt: Vendor Spend Analyzer, NetSuite AI Prompt Library v1

Executive Summary

Addressable spend over the trailing twelve months is $2,270,731 across 29 vendors that billed the company, out of 76 active vendor records. Spend doubled against the prior twelve months ($1,118,229, +103%), and almost all of the increase came from the five largest suppliers of inventory. Concentration is high on every measure the prompt uses: the largest vendor, Generation N, is 25.5% of spend, above the 25% threshold for a strategic review; the top five are 73%, and the top ten are 91%.

The rest of the picture is unusually clean. There is no fragmentation to consolidate: every expense category outside inventory is served by exactly one vendor. Tail spend is 4.2% of the total, well under the 5% mark. Payment terms are almost all Net 30. The savings opportunity is therefore not in rationalizing vendors, which is already done, but in three places: the terms and pricing conversation with a five-vendor core that now carries $1,652,692 of spend, the 46% of bill value that arrives without a purchase order, and a single $120,000 bill to a new vendor with no purchase order and no prior history.

Vendor Pareto

Vendor Segmentation

Tiers follow the prompt's defaults: the top five by spend are Tier 1, ranks six to fifteen are Tier 2, the rest Tier 3. In this account Tier 1 is 73% of spend, above the typical 60 to 70%, and Tier 3 is 2.3%, below the typical 10 to 15%. The supplier base is already concentrated where a consolidation program would try to take it.

Category Analysis

Vendor category on the master record is coarse (Supplies, Consultant, 1099 contractor), so the analysis uses the GL account each bill posted to as the category. Inventory purchases, posted to Inventory Received Not Billed and Inventory in Stock, are 70% of billed spend across 16 vendors, with the largest at 30% of the inventory category. Every other category has one vendor, which means single-source by construction: advertising ($249,755), computers ($101,049), telecom ($84,207), training ($53,550), office supplies ($33,522). Single-source is a risk only where switching is hard; for advertising and office supplies it is a choice, and for the $120,000 leasing prepayment it is a contract.

Payment Terms and Contract Position

Twenty-two of the 29 vendors are on Net 30 and five on Net 15, including Generation N, the largest. One vendor, Broyhill at $249,378, offers 2% 10 Net 30. Bills in this account are paid in about three days on average, so the discount is almost certainly being captured; the same behavior means the company gives up roughly 25 days of float on every other bill. Moving the five Net 15 and Net 30 Tier 1 vendors to Net 45 would be worth about 2% of their spend in annual cash benefit by the prompt's rule of thumb, about $33,054, and is the single largest terms opportunity. Contract end dates and auto-renewal flags are not recorded on the vendor records, so the contract calendar the prompt calls for cannot be built; that is a data gap to close before any renewal is missed.

Trend and Purchase Order Coverage

Monthly billed spend ran between $82,000 and $140,000 through 2025 and has climbed steadily in 2026, reaching $362,643 in September. The step is volume, not price: the inventory vendors' bill counts rose in line with their spend.

165 of 551 bills, $1,044,291 or 46% of bill value, have no purchase order behind them. Much of that is non-PO by nature (advertising, IT, leasing, consulting), but the largest single item is a $120,000 bill from Davidson Leasing, a vendor created this year with one transaction, posted to prepaid expenses with no PO and no contract fields. It is the first item on the review list.

Savings Opportunities

Potential duplicate vendor names were checked by string similarity. The matches are state Departments of Revenue and the two intercompany vendor records, all legitimate; no duplicate supplier records were found.

Appendix: Data Lineage

Adaptations from the prompt's templates: vendor bill totals are stored as negative amounts in this account, so absolute values are used throughout; the template's t.total is foreigntotal here; the custom contract fields the template references (custentity_contract_end, custentity_auto_renew, custentity_strategic_value) do not exist in the account, so the contract calendar was not produced; UTL_MATCH is not available in SuiteQL, so name similarity was computed in code; category analysis uses GL account rather than the vendor category field.

SELECT v.id, v.companyname, BUILTIN.DF(v.category), BUILTIN.DF(v.terms), tm.daysuntilnetdue,
  SUM(CASE WHEN t.trandate > ADD_MONTHS(TRUNC(SYSDATE), -12) THEN ABS(t.foreigntotal) ELSE 0 END) AS ttm_spend,
  SUM(CASE WHEN t.trandate <= ADD_MONTHS(TRUNC(SYSDATE), -12) AND t.trandate > ADD_MONTHS(TRUNC(SYSDATE), -24) THEN ABS(t.foreigntotal) ELSE 0 END) AS prior_spend,
  COUNT(DISTINCT CASE WHEN t.trandate > ADD_MONTHS(TRUNC(SYSDATE), -12) THEN t.id END) AS ttm_bills
FROM vendor v LEFT JOIN term tm ON tm.id = v.terms
LEFT JOIN transaction t ON t.entity = v.id AND t.type = 'VendBill' AND t.posting = 'T'
WHERE v.isinactive = 'F' GROUP BY ...

SELECT a.acctnumber, a.fullname, COUNT(DISTINCT t.entity), COUNT(DISTINCT t.id), SUM(tal.amount)
FROM transactionaccountingline tal JOIN transaction t ON t.id = tal.transaction JOIN account a ON a.id = tal.account
WHERE tal.posting = 'T' AND t.type = 'VendBill' AND t.trandate > ADD_MONTHS(TRUNC(SYSDATE), -12) AND a.accttype <> 'AcctPay'
GROUP BY a.acctnumber, a.fullname

SELECT CASE WHEN tl.createdfrom IS NULL THEN 'no_po' ELSE 'po' END, COUNT(DISTINCT t.id), SUM(ABS(NVL(tl.foreignamount, tl.netamount)))
FROM transaction t JOIN transactionline tl ON tl.transaction = t.id AND tl.mainline = 'F' AND tl.taxline = 'F'
WHERE t.type = 'VendBill' AND t.posting = 'T' AND t.trandate > ADD_MONTHS(TRUNC(SYSDATE), -12) GROUP BY 1

Appendix: Assumptions and Verification

Confidence: high (98%) on spend and ranking; high on terms; not applicable on contract dates; medium (65%) on the savings estimates, which use the prompt's rules of thumb and require negotiation to realize.