Purchasing Strategies and Organizational Structures
The functions and responsibilities of purchasing are in a continuous change process. The strategic elements are becoming increasingly more important, which include supply market(s) knowledge, the formulation and the implementation of purchase strategies such as professional Supply Management.
The purchasing assignment is made possible through the positioning of the purchasing department in relation to, and as a boundary, to the Sourcing and Supply Chain Management. The purchasing process is subordinated and standardized into single procedural steps. The necessary demand for information technology is worked out and the functional transformation, in view of the purchasing processes, is carried out.
Purchasing strategies with a relevant governance structure are developed, to guarantee the transformation and compliance. This includes Sourcing Boards as well as support through IT-based projects such as Spend Visibility and supplier scorecards.
For further details on our approach and methods please check the following site describing our view for modern purchasing and strategic supply chain management.
The aim is the pooling of purchase volume into categories on the basis of criteria, which create significant synergies within the created categories. This structure creates both the strategic platform as well as the basis for the organizational alignment of global purchasing organizations.
The material groups are assembled into categories. The supplier strategies and the category strategies are consolidated with the development and production visibility.
A corresponding organization and governance structure to the execution of the strategy (e.g. Sourcing Boards) is built. The purchasing decisions are synchronized with these category strategies and measures for targeted supplier development shall be consequently derived.
Solid and reliable spend data is produced from the purchase management based on historical data to the development and evaluation of the purchasing strategies through scenario management which culminates in the final database.
Together with purchasing and IT, we determine the necessary data and level-aggregation with the expected derivations. Spend Cube, Spend Transparenz
The execution requires professional management on both the purchasing organization side and the IT side. We offer the project management and supporting services on both sides.