For higher ed finance and procurement teams, these are challenging times. Money was already tight and changes in government programs are squeezing funding even further. Uncertainty at the Department of Education, threats to endowment programs, funding freezes, and moves to reduce funding, incentives, and tax provisions even further require rethinking procurement.
Colleges and universities today are looking for every opportunity to reduce costs and optimize higher education budgets, and they are increasingly turning to educational and institutional cooperatives as a strategic solution.
There are both educational and institutional cooperatives that serve a broad section of industries. However, an education-focused cooperative like E&I Cooperative Services tailors solutions specifically for the education sector. For example, E&I leverages the aggregated demand of nearly 6,000 academic institutions to achieve significant cost savings and terms that align with the needs of higher ed.
By harnessing the collective purchasing power of multiple institutions, colleges and universities can dramatically reduce costs while meeting the rising financial demands of higher education.
One of the biggest advantages of partnering with an education cooperative is the ability to leverage collective buying power. By pooling demand across multiple institutions, cooperatives can negotiate lower prices on essential supplies and services. This bulk purchasing power extends to a wide range of categories, including:
Athletics | Food & Food Services | Office & Classroom, Interiors |
Facilities & MRO | Information Technology (IT) | Professional, Consulting & Administrative Services |
Financial Services | Logistics & Travel | Research & Scientific |
Maximizing savings requires a strategic approach to spending. E&I Cooperative Services offers Strategic Spend Assessments (SSAs) to analyze your procurement spend and find opportunities for:
E&I members can take advantage of SSAs at no cost.
Beyond cost savings, cooperatives can improve your efficiency by streamlining administrative processes and reducing redundancies. Procurement departments typically face lengthy bidding and contract negotiations, consuming time and resources. Cooperatives simplify this by competitively soliciting suppliers, pre-negotiating contracts, and ensuring compliance with institutional policies.
Balancing the need to control costs while also meeting social responsibility goals can take considerable time. An education-focused cooperative like E&I understands the unique needs and requirements of higher ed, competitively soliciting a broad range of suppliers that can align with these goals, such as certified diverse suppliers and sustainable solutions. This provides you with greater options and reduces the solicitation process while still leveraging volume pricing from consolidated demand.
Many contracts allow fulfillment opportunities for such initiatives. A good example is the University of Washington. Through E&I’s cooperative agreement with Staples, UW was able to contract with a Staples diverse alliance partner for jan/san purchases and improve sustainability goals with recycled products.
Educational cooperatives help institutions establish long-term relationships with preferred suppliers. This can help lock in favorable pricing and avoid sudden price hikes. By working with vetted suppliers, you get access to competitive rates and enhanced service agreements, which you might not be able to secure on your own.
The Virginia Institute of Marine Science (VIMS), a research organization and graduate school within the College of William & Mary, was able to save $76,000 using an E&I negotiated contract for maintenance and repair of highly-specialized research equipment.
Members of E&I Cooperative Services help guide purchasing strategies. When a need is identified, E&I’s procurement and category experts work together with institutions to find solutions.
When the State University of New York (SUNY) System wanted to find operational cost savings, MRO products and services were identified as a potential area for consolidation as $20 million was being spent with 6,400 different suppliers. E&I and Grainger worked together with SUNY to negotiate better pricing on each line item in Grainger’s portfolio and expand their Minority and Women-Owned Business Enterprise (MWBE) partnerships to meet diversity requirements.
You can also benefit from access to a network of higher ed procurement professionals who share best practices, strategies, and innovative solutions. For example, E&I’s EdHubPro is a community where education procurement professionals connect, share knowledge, and support each other’s growth through mentorship, collaboration, and professional development.
Educational cooperatives offer a proven strategy for reducing costs and solving higher ed finance challenges. With growing financial pressures, exploring your options is a smart decision. Partnering with an educational cooperative can help you reduce costs and optimize your higher ed budgets.
E&I Cooperative Services is the only member-owned nonprofit cooperative that solely serves the education sector. There is no cost to become a member and no minimum purchasing requirements. View available cooperative contracts to see where you can save.
