Procurement Strategy – Creating Competitive Advantage
The value of procurement is sometimes overlooked in the drive to generate sales and grow organisations. But a strategic review of key suppliers can create competitive advantage by reducing costs, minimising supply chain risk and ensuring that your business has the right goods and services it needs to enter into profit generating activity. Using your company’s supplier spend data this practical session shows you how to set realistic cost reduction targets, identify those areas to tackle first and determine the most likely strategies for success in each spend category.
This workshop will:
- Analyse supplier expenditure data.
- Create procurement categories.
- Identify those categories most likely to yield the largest savings.
- Set realistic targets for cost reduction together with a timescale for delivery.
- Identify the most appropriate procurement strategy for each category of spend.
- How to check if the right strategies are being used in their organisations.
The workshop will contain a range of analysis tools and real life examples including procurement of raw materials, packaging and indirect services. Participants will have the opportunity to apply the analysis to their own companies’ major expenditure categories, identify cost reduction targets and try their hands at developing individual action plans.
- Know how to set realistic cost reduction targets and have applied this technique to their own organisation.
- Understand the four generic procurement strategies and how to select the right one for each spend category.
- Know when and where CEOs should get involved in procurement activity, and be armed with a checklist of questions to assess current procurement performance.