How can procurement add value to an organisation

I would argue that the flipping of the switch has been happening for awhile. There are some companies that understand that their suppliers are an asset to the company.

The real issue is whether the wire is connected and the light goes on. That connection will happen for some shortly and some in a long time. It will be agile organizations that bring the whole team in the mix. To do that, you have to align yourselves with people in the business and gain their trust. Then, a procurement organization can go out to the marketplace and build the right supplier relationships that bring value to the business.

He is a speaker and writer on business and procurement issues and has written for journals such as CPO Agenda, Supply Management and Procurement Professional. He can be reached at. JavaScript must be enabled to view this email address. Subscribe Today!

Toggle navigation. Premium access to exclusive online content, companion digital editions, magazine issues and email newsletters. Subscribe Now. Upgrade your subscription now. Log In Now. Please recheck your login information and resubmit below. Is procurement adding value to your organization? Authors Gerard Chick and Robert Handfield discuss how purchasing strategies, and the role of procurement professionals, must change to deliver real value and not just lower price.

About the Author Bob Trebilcock. But, the evolution improvement of a procurement function does not happen in a vacuum. Providing your team with the right procurement tools enables them to improve upon the current procurement process is critical. I love this article.

This is very well written. You have truly enriched me with some excellent knowledge about it procurement. Procurement optimization is also integrated with change management — which allows the organization to execute the sourcing excellence.

Many procurement transformations fail because purchasers underestimate the importance of change management. Truth is procurement can still aim at achieving both of these objectives by;. What are other ways procurement can help an organization add value to the products and services? Suggest so more. Like this: Like Loading Fears for aluminium supply as magnesium shortage bites.

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However, there are some reasonably simple solutions to start adding value today: 1. Effective use of savings Where are the millions of procurement savings claimed each year?