Strategic Purchasing

In a typical company purchases of outside goods and services can consume as much as 60% or more of business revenues. Our experience has demonstrated that most companies closely manage only 15% to 50% of these costs. This creates an opportunity for dramatically reducing a company’s costs, while improving profitability and overall business performance.

Effective Strategic Purchasing includes a number of elements:

• Spend Assessment

• Supply Market Assessment

• Sourcing Strategy Development 

• Supplier Selection & Negotiation

• Implementation of New Supply Structures

• Tracking of Results

Change Management

The human, or people side, of change is critical to the success of a strategic purchasing transformation. Individuals and organizations can either embrace change and support the initiative, or fight change and undermine the success of the transformation. Well executed change increases value, while poorly implemented processes can lead to instability, resistance, and lost opportunity.

Effective Change Management includes a number of elements:

• Organizational Design

• Talent Management

• Competency Identification

• Team and Individual Development

• Planning of Communication and Roll-out

• Conflict Resolution

Talk to us about creating a sustainable transformation in your purchasing organization.