Why Strategic Purchasing is Helpful
Three strategic purchasing ideas have changed the way many of the successful companies operate.
The first idea is to strive to acquire inventory just-in-time.
The second idea is that continuously improving quality is a key factor in the success of the organization.
The third idea is that treating your suppliers as partners is a better strategy compared to treating them as adversaries who should be forced to offer lower prices.
Why Strategic Purchasing is helpful
While these three ideas seem easy enough to try, successfully implementing them become almost impossible if your purchasing department still believes in the following ideas:
- Buying in bulk always provides the lowest cost
- Buying the at cheapest price will always result in an acceptable end product, and
- The the ultimate skill of a good buyer is to continuously haggle until the supplier gives up.
Many companies have learned that long term success requires developing your critical suppliers into partners who also care enough to give you the best supplies at a competitive price.
Why should your suppliers care? They care because your success is their success. If you make a profit, then you purchase more from them and they make more profit. It is the win-win situation you a looking for.
If your buyers insist on a one time win, you will soon loose all of your suppliers. You will have to repeat the long process of seeking and qualifying suppliers.
Strategic purchasing goes beyond looking for the lowest price from three quotations. Strategic purchasing requires developing a tight link between procurement strategy and corporate and business unit strategy. It means a change of focus from cost control to revenue enhancement. Applying the Lean Methods taught at RMP Consultancy can help your staff achieve lower ordering cost, lower storage cost, and ultimately lower total cost of procurement.
Objectives of Strategic Purchasing
- Tightly link procurement strategy to corporate and business unit strategy
- Develop strategic, but flexible, relationships with critical suppliers
- Change focus from cost to revenue enhancement
- Understand how applying Lean Methods can lower ordering cost, lower storage cost, and ultimately lower the total cost of procurement.
- Negotiate effectively with your suppliers.
Who should attend this Strategic Purchasing Seminar?
- Procurement Officers
- Inventory Staff
- Managers, supervisors, team leaders, and potential leaders
Bring a Laptop
Many of the Lessons to be presented require calculations using MS Excel. It is recommended that you bring your LAPTOP COMPUTER to be able to follow the analysis being demonstrated. A Maximum of 2 participants per laptop may share for optimum learning. Your computer should have MS Excel or equivalent software installed.
Upcoming Purchasing and Procurement Seminars
9 May 2019, Thursday, Effective Negotiations Skills Seminar,
21 May 2019, Tuesday, Strategic Purchasing Management and Negotiation Skills Training (2 days),
5 Jun 2019, Wednesday, Effective Negotiations Skills Seminar,
6 Jun 2019, Thursday, Effective Purchasing Skills,
24 Jun 2019, Monday, Strategic Purchasing Management and Negotiation Skills Training (2 days),
16 Aug 2019, Friday, Effective Purchasing Skills,
Register for one of the Seminars Above
Register for the Seminar
RMP Consultancy Seminars are available in the following formats:
- Public Seminar at our training center in Quezon City Philippines
- In-House (at your site) Workshop Format for a Max of 25 pax (Recommended)
- Special Exclusive Run
- One-on-one Coaching
Please Call Marco or Claire:
Landlines: Tel (632) 697-0767, Tel (632) 579-0233
Mobile (Globe) 0917-882-5578, Mobile (Smart) 0920-918-7358
Comments are closed