2007, Agile and Lean Supply Chain and Buyers - Purchasing & Procurement Zone

What is Purchase Price Variance (PPV) and How to Calculate it?

SCMDOJO

MARCH 24, 2025

Introduction Gardner, (1954) and Huntzinger, (2007) define Purchase price variance (PPV) as a metric used to measure the effectiveness of cost-saving efforts by calculating the difference between the planned cost (standard pricing) allocated for purchasing activities and the actual cost incurred. Check out the Procurement KPI Dashboard now!

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New GEP Paper: Agentic AI Versus Real Agents?

Procurement Insights

DECEMBER 13, 2024

1999 Revisited (Video) – Real Agents Leveraging AI GEP Autonomous Agentic AI Agents (High-Level Summary) GEP is set to revolutionize procurement and supply chain operations by introducing autonomous AI agents into the Source-to-Contract (S2C) and Procure-to-Pay (P2P) processes.

Supply Chain Efficiency

Supply Chain Efficiency Agile and Lean Supply Chain Supply chain Supplier relationship management

Purchasing & Procurement Zone

What is Purchase Price Variance (PPV) and How to Calculate it?

New GEP Paper: Agentic AI Versus Real Agents?

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