Strategic Sourcing

Course Overview:

Procurement is a vital function. It drives every organization’s productivity. There are various cost saving strategies that will lead to the profitability and growth of the company. One of those important strategies is the sourcing of suppliers. This course will focus on this strategy and its effectiveness and how to use the 7steps for strategic sourcing.  The course will display case studies, team exercises and interactive environments prevails.

Learning Outcome:

  • Analyze internal spend and supply market dynamics to provide a foundation for sourcing plans
  • Execute different sourcing strategies to optimize savings and ensure supply security
  • Identify appropriate suppliers for effective execution of sourcing plans
  • Describe operational and strategic procurement processes for better value
  • Implement different purchasing methods to streamline procurement operations
  • Apply supplier integration techniques for sustainable supplier relations
  • Manage performance of procurement processes for continuous improvement

Course Features:

  • Suitable for procurement and supply chain professionals, procurement executives, managers and supervisors.
  • Certificate attained if participant achieve 80% in CHOOLs course exam.
  • Course Material and hand-outs are provided.
  • Course could be customized to businesses and LOGO added to presentations.

Why Choose Chools?

Access to:

• Top 100,000 Ebooks.
• 250,000 Management slides and presentations.
• 1 million excel templates.
• 60,000 business documents.

• 15,000 top books in abstract forms.
• 40,000 audio podcast.
• 550 audio library books.
• 50,000 video libraries.

• 1500 training courses.
• 2.6 million Journals and articles.
• 137 Lean Six Sigma toolkit.
• Leadership assessments.
• Quiz, Exam prep, Q&As, Case-studies.

Course Outline:

Step 1:

  • Analyze spend categories
  • Recognizing strategic role of procurement
  • Strategic sourcing in supply chain context
  • 7 steps to strategic sourcing
  • Analyzing spend categories

          Profiling spend categories

          Analyzing financial impact

          Assessing market risks

          Consolidating category reports

  • Operating the strategic sourcing toolkit
  • Applying Total Cost of Ownership (TCO)
  • Segmentation and analysis of suppliers

Step 2:

  • Develop sourcing strategies
  • Mapping spend categories using purchasing strategy matrix

          Routine items

          Bottleneck items

          Leverage items

          Strategic items

  • Managing balance of power in buyer-supplier relations
  • 6 key sourcing strategies
  • Applying sourcing strategies effectively

Step 3:

  • Identify suppliers
  • Locating suppliers
  • Registering suppliers
  • Assessing suppliers
  • Sourcing locally
  • Describing vendor diversity programs

Step 4:

  • Develop procurement processes
  • Scoping procurement processes
  • Describing strategic and operational processes
  • Developing procurement processes
  • Integrating ethical principles

Step 5:

  • Implement procurement processes
  • Managing RFI, RFQ and RFP processes
  • Defining bid evaluation criteria
  • Implementing innovative purchasing methods
  • Using purchasing decision matrix
  • Employing purchasing tools and templates

Step 6:

  • Integrate suppliers
  • Prequalifying suppliers
  • Managing supplier certification programs
  • Partnering with suppliers
  • Managing Supplier Level Agreements (SLAs)

Step 7:

  • Manage procurement performance for continuous improvement
  • Managing a strategic sourcing plan
  • Measuring, analysing and reporting on performance
  • Developing improvement initiatives
  • Institutionalizing supplier report cards
  • Monitoring industry conditions
  • Bringing it all together
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