Procurement Knowledge Sharing

Contract management plays a crucial role in the procurement process, as it helps ensure compliance, mitigate risks, and optimize supplier relationships. By effectively managing contracts, organizations can maximize the value of their procurement activities and minimize potential issues. In this guide, we will explore the key benefits and importance of

Supplier negotiation is the most critical skill in the world of procurement. Effective supplier negotiations are not limit to the best price but a mutually beneficial agreement from both parties that can have a profound impact on the company. It is a skill that needs a strategic approach and it is not

Every company knows what they sell. Sales departments know, finance know, even the CEO knows the top level numbers. Compare that with how many companies truly know and understand what they’re buying. It’s shockingly few. And yet, especially in many manufacturing industries, goods and services associated with the cost of

You need to sharpen a pencil. It is not optional. The rules say you have to have a very sharp pencil. But why are you using a Swiss Army knife? Good software will allow you to do virtually anything but it’s amazing how often businesses find the limits of what’s

Traditional procurement processes can be characterized by manual and resource-intensive activities. Even where some automation is in place, there can be unacceptable levels of manual transactions and activity to address exceptions, ad-hoc purchases or specific project requirements. Plus, many companies still use very traditional tools, such as to engage with

Correcting poor supplier performance is the other side of rewarding good supplier performance. When it is evident through your rating methodology that a supplier’s performance is inadequate, you need to meet with that supplier to improve performance. Some things to keep in mind when taking corrective action include: Resolution Setting

Preparing for the purchasing job interview can be daunting. Many candidates still commit a lot of mistakes during their purchasing job interviews. Ensuring that your resume does not get lost in the shuffle is an accomplishment in itself—the volume of people looking for work and bombarding job postings with their resumes.

Purchase to Pay risks is the enemy of any P2P project. Understanding them and knowing how to tackle them increases your chance of success.Sweep them under the carpet. Cross those bridges when you get to them. Leave it for another day. This is exactly what your consultants will do. And

Every company knows what they sell.Sales departments know, finance know, even the CEO knows the top level numbers.Compare that with how many companies truly know and understand what they’re buying.It’s shockingly few. And yet, especially in many manufacturing industries, goods and services associated with the cost of production can account

Success in negotiation requires careful preparation and planning. The following are the 10 Critical Steps for Negotiation Preparation: Setting Targets This article focuses on the third step in preparing for a negotiation: setting targets for each issue you identified. A target is a goal that you want to achieve for

Trend #1- Procurement with a purpose accelerates For many, the reality of our climate emergency was brought into sharp focus in 2020, as a result of, and even prior to, the escalation of the COVID-19 pandemic. For example, the worldwide financial sector understands that the investment risk of global warming

Forward thinking business leaders are exploring how procurement can bring new opportunities for growth, as they become increasingly aware of the huge potential that exists in the upstream supply base. That potential can manifest itself in many ways, but organizations that remain fixated on driving cost from supplier contracts alone

Trend #1- Procurement with a purpose accelerates For many, the reality of our climate emergency was brought into sharp focus in 2020, as a result of, and even prior to, the escalation of the COVID-19 pandemic. For example, the worldwide financial sector understands that the investment risk of global warming

Purchase to Pay risks are the enemy of any P2P project. Understanding them and knowing how to tackle them increases your chance of success.  Sweep them under the carpet. Cross those bridges when you get to them. Leave it for another day. This is exactly what your consultants will do. And

Indirect procurement of goods and services can be one of the largest areas of expenditure in any company.  And the operational impact that the provision of Indirect goods and services can have on a company can be significant, either positively or negatively. Yet the lack of attention and focus that

Procurement and Procurement Spend. Purchasing. Commodity Management. Category Management. They are all running their own businesses within their companies, or at least they should be, whether they realize it or not. Goods and services spend in many companies is the largest, or one of the largest, expenses. And all of

Competition is fierce. Your company needs every advantage it can get. And needless waste from your procurement processes only eats up valuable resources and holds you back. Without an effective and reliable supply chain, your business risks unnecessary delays. Your customers and clients will wait longer for goods and services

Category Management is the management of a grouping of similar items which an organization desires to procure under a single deal. This powerful methodology executes and is underpinned by the following: Table 1 demonstrates the correlation of Category Management Best Practices. Table 2, Distribution of Spend Management Table 3, Spend

Visibility Step 1 is to get good spend visibility and understand what you are buying and how much you are spending across all your spend categories. Without visibility of spend you cannot progress. Many companies have limited or no visibility of spend that is equivalent to 20% of their revenues

The importance of Buyer Portals

As the world approaches what will likely be an unprecedented recession, businesses are talking about “innovating out of the crisis” by working more closely with their suppliers. But what does innovation mean in this crisis and what should it achieve? During a roundtable with a cross-industry group of procurement teams,

Currently, China is the world’s largest exporter of goods. Official estimates say Chinese exports amount more than $2 trillion, making the country the largest trading nation on Earth. But with China’s economy running at just 40% capacity amid Coronavirus lockdown, the effects on the global supply chain industry are devastating.

It is fair to say that Covid-19 has disrupted businesses and economies in a way, unlike any other global event. Although it is humbling to see communities changing their behaviors in the face of the pandemic to help save lives, it is equally sobering to witness the speed at which

While no one can know what the future will bring, individuals who actively invest in building their skills in these key areas will be well-prepared come what may. Following are the key skills a procurement professional should possess for delivering KRAs in pressure situations : Business ethics involves the application