Price and Cost Management
- Course focuses on procurement's impact on corporate performance, cost reduction, supplier pricing, costing systems, and investment appraisal.
- Attendees will gain insights on commercial management, supply chain value, economic forces, and organizational costs.
- Target audience: Teams implementing supply chain management for purchasing and procurement results.
- Program aims to equip attendees with knowledge of supplier-buyer dynamics and market economics.
- Course covers topics like break even analysis, open book costing, purchaser pricing methods, and ratio analysis.
Overview
This 2-day course focuses on commercial management and understanding suppliers to maximize value from supply chains. Attendees will gain insights into procurement, supplier pricing methods, costing systems, and financial analysis techniques. The program aims to equip participants with knowledge of market dynamics, economic influences on costs, and effective supply chain management strategies. Suitable for teams implementing supply chain management practices in procurement.
Who should attend
Supply Chain Teams
Course Content
Course duration: 2 Days
Course running order
Day 1
· The contribution of effective procurement to corporate performance
· Achieving cost reduction through better procurement
· Understanding supplier pricing methods
· Using break even analysis
· Costing systems – understanding the logic concerned with marginal costing, total absorption costing and breakeven analysis
· The development of open book costing approaches to encourage the ‘should cost’ of bought out products and services
Day 2
· Purchaser pricing methods, such as fixed, target costing, contract price adjustment and unitary pricing
· Understanding accounts- balance sheets, profit and loss statements
· Using ratio analysis to understand suppliers costs
· The use of investment appraisal and discounted cash flow techniques to achieve total cost of ownership methods
· Review and evaluation
Course Objectives
To critically examine all aspects of the commercial management and understanding of suppliers in order to drive maximum value from supply chains. The programme will help equip attendees with an understanding of how suppliers and buyers work within the market context as well as an understanding of how basic economic forces operate and influence organizational costs.
Who should attend?
Teams that are embarking on a supply chain management approach to the delivery of purchasing and procurement results for the business.
Duration / Fees
A 2-day single manned programme
Can be run over a two or three week cycle – simply ask when booking
A 1-day single manned course
