Case Study

Slashing yearly consulting costs, achieving full spend transparency, CO2 estimation, and more

How procurement innovation saved this construction major hundreds of hours monthly, allowing it to focus on its core mission of driving sustainability and compliance.


  • Headquarter: Norway
  • Number of employees: 7,800
  • Solution: Data Management, Procurement Analytics, Carbon Analytics

One of the biggest challenges in today's procurement world is to commit to a common language, definition, and process. Veidekke also wanted to overcome this hurdle and create synergies across the organization.  

Veidekke sought to achieve sustainable growth and create value in its construction activities by getting the competitive advantage of a robust procurement organization built on data and transparency. While also reducing emissions in line with the Paris Agreement and becoming carbon neutral by 2045.

About Veidekke

Veidekke was founded in Norway in the 1950s and has since expanded to Sweden and Denmark. Today, Veidekke is one of Scandinavia's largest contractors, with more than 7,800 employees across its three markets.

Veidekke helps clients with their major construction and infrastructure projects by developing, constructing, and maintaining buildings and infrastructure, as well as producing asphalt and aggregates.  

Veidekke has always had a strong focus on sustainability. The group strives to reduce greenhouse gas emissions from its operations and the entire value chain in line with the Paris agreement. For this, the group has assigned greenhouse gas budgets for each operational unit and a set Science-Based Targets for meeting emission reduction.

Challenges and possibilities

The organization's procurement is decentralized, driven by projects and regions. This means that data is stored in disparate systems, often in various formats, and spread over a large number of procurement centers.

Whilst this is good for flexibility, it also made it more challenging for the company to keep track of what and where it's spending and how it contributes to its overall goals. There was little to no transparency concerning the organization's spend and procurement operations as a whole.  

Collecting, harmonizing, and analyzing the data was also a mammoth task that was done once every year with the help of external consultants. Hence, data wasn't categorized and updated regularly, resulting in missed opportunities.

Veidekke needed a solution to manage all this and its sub-companies information in one place, helping it save time and money and improve efficiency and collaboration between different departments.

Veidekke's strong focus on continuous improvement and innovation within the organization led it to explore the Ignite Spend Management Solution.

When procurement meets technology, business loves results

With Ignite, Veidekke was able to find the perfect match with its functional and technical requirements.

The solution

Veidekke has several subsidiaries, each with its own purchasing teams and ERP/data system. The company wanted to make sure all of its subsidiaries worked together, but it didn't have the resources or time to tailor internal processes and systems for each subsidiary. Veidekke needed a solution that could address this challenge and be quick and easy to implement.

This led to the strategic direction of establishing a solid data foundation accessible to everyone. Thus, helping Veidekke identify inter-company synergies and increase collaboration while still being organized in the same way as before.

Ignite Procurement helped Veidekke to execute solution in three waves: data and analytics, enterprise integration and creating a decision support system, to identify inter-company synergies.

The results

With Ignite Procurement, Veidekke was able to: 

  1. Gain 95% spend visibility on total spend, with the remaining 5% (coming from smaller units) in progress.

  2. Centralize and track metrics across 10 ERP systems and numerous tools, 10+ Veidekke companies, 13 currencies, ~3 million transaction lines, and 300+ users.
  3. Achieve 90% improvement in speed of reporting by reducing the time required for handling data and analysis.
  4. Get 90% of spend categorized in a standard definition, with the remaining 10% in progress.
  5. Ensure a risk-free, compliant eco-system, by screening ~40,000 suppliers for Russian or Belarusian ownership and getting a 360-degree supplier view.
  6. Streamline carbon emission reporting for Scope 3, which accounted for ~75% of Veidekke's total emissions.


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