Procurement has a vital role play in helping organisations be successful through obtaining optimum value from sourcing products and services, establishing key supply chain relationships needed for sustainable business success and limiting exposure to commercial risks.
Procurement functions are the formal vehicle by which organisations communicate with an ever increasingly complex, diverse and dynamic market place. Procurement effectiveness leads to sustainable cost reduction whilst adding significant value to the services organisations provide via their supply chains.
Organisations should periodically evaluate how well their procurement functions:
- contribute to organisational strategic and operational goals; and
- deliver savings and better value from their engagements with the suppliers and partners.
Our procurement function effectiveness service assesses organisations’ procurement activities and compares these against best practice. The benefits include identifying opportunities for improvement in:
- strategy and commercial relationships;
- finance (cost reduction and value for money).
- people (culture, capacity and capability);
- supply chain effectiveness
- process (efficiency and effectiveness);
- stakeholders (buy-in and support); and
- compliance with policy and regulations.
We then help organisations to create and implement action plans for sustainable improvements and short and long term savings.
For more information about how our procurement function effectiveness reviews can help you identify savings and sustainable improvements, please contact Sola Fadojutimi, Consulting Director, Contract and Procurement Advisory.