Measuring Purchasing Performance
- Course focuses on measuring procurement performance and relationship management techniques.
- Understanding how procurement adds value and supports corporate goals.
- Identifying and managing key stakeholders effectively.
- Developing key performance indicators and service levels.
- Learning best practices for measuring procurement performance.
Overview
This one-day course focuses on relationship management and performance measurement techniques in procurement. Participants will learn about the importance of internal customer relationships, hidden costs of poor relationships, and new relationship models in the commercial world. The course covers understanding organizational strategies, developing competitive advantage, managing key stakeholders, setting goals, negotiating service levels, and best practices for measuring performance. It aims to equip procurement teams with the knowledge to measure the contribution procurement makes to the organization. Suitable for procurement teams maintaining relationships with internal users and suppliers.
Who should attend
Procurement Teams
Course Content
Course duration: 1 Day
Course Running Order
Measuring purchasing performance
· The importance to procurement in internal customer relationships
· Hidden costs of poor relationships
· New types of relationship models in the commercial world
· The importance of ‘Selling the function’
How the procurement operation adds value to the organisation
· Understanding the organisations’ strategies and how they develop competitive advantage
· The link between corporate goals and procurement strategies
· How procurement supports the achievement of the organisations corporate goals
Understanding and managing Purchasing’ key stakeholders
· Identifying the key stakeholders
· Evaluating their view of procurement
· Setting goals that turn internal customers on
· Managing difficult stakeholders
Developing key performance indicators and service levels
· Negotiating achievable service levels
· Developing balanced scorecards
· Targets versus balanced scorecards
Some current best practice methods for measurement of performance
· Price and cost performance
· Supply base management
· Supplier performance
· Category management
· Transaction cost measurement
· Process measurement
· Determining the procurement footprint
Course objectives
This programme is designed to provide staff with a complete understanding of the relationship management and performance measurement techniques available for measuring the contribution procurement makes to the organisation.
Who should attend?
All procurement teams involved maintaining effective relationships with internal users and suppliers.
