Comprehensive Procurement Strategies and Techniques
Creating a successful robust and responsive supply chain requires a comprehensive approach to demand planning, strategic sourcing and a shift from the traditional “us versus they” mindset in supplier relationship management.
The strategies you use to approach your procurement initiatives will have a long-term impact on the results you receive.
Source One will help you develop the appropriate strategies, whether they involve the use of technologies or negotiation tactics, we can help develop a unique strategy that fits your business needs.
To survive and thrive within an increasingly competitive marketplace, organizations must adapt to the new collaborative model that enhances predictability, visibility and responsiveness throughout the supply chain.
Your sourcing strategy must consider all of these disciplines and more to achieve overall organizational responsiveness and, as a result, competitive advantage.
Procurement strategies within a business enterprise can vary significantly by commodity:
- Some commodities are better leveraged through global contracts, supplier rationalization and single vendor sourcing,
- Other commodities are best left to regional buying.
- Likewise, some procurement processes are best controlled centrally while others are best left to regional offices.
- An off-the-shelf training or procurement process manual will not suit the needs for every company and every commodity. Strategic Sourcing requires a creative approach including the identification and qualification of vendors, the geographical and logistical aspects of the supplier, the sourcing strategy to be used (RFx, Reverse Auction, etc.) and in the development and negotiation of short or long-term contracts.
- Following a strict repetitive process for all sourcing events (regardless of commodity) limits the flexibility of potential new sources of supply and can lower the overall value of the delivered product or service.
- What about collaborative planning, forecasting and replenishment (CPFR), retained consignment and vendor-managed inventory (VMI)? Where do these concepts best apply? How can they be implemented?
As a Procurement Services Provider, Source One’s experience and guidance can assist in the development of procurement strategies and the prioritization of initiatives. Whether aimed at specific internal processes or applied across the extended supply chain, the strategies will provide a return on investment (ROI), return on effort, and return on time driven to support your critical business objectives.
In addition, Source One has the expertise and tools to help analyze and manage your spend and take it through the entire RFP or Bid Management portion of the sourcing process.