“A penny saved is a penny earned – Benjamin Franklin” This statement has for a long time been the driver of many companies in regards to their cost structure and their targets set for the procurement/purchasing divisions. But is this true?
This course will lay the foundation of good procurement practices while at the same time touch base on tying the procurement function into strategy and long-term supplier relationships.
The principal focus of the course will not only be on traditional procurement practices for, eg, cost models, setting up supplier KPIs but also on establishing a framework for conducting procurement exercises as well as creating insights on value creation.
You should today be a buyer or new manager who has been working within procurement or purchasing whether direct or indirect categories. You should see yourself as an individual who has been focusing on reducing costs and leveraging volumes but also now seen the opportunity of capturing value.
This program equips procurement managers with a structured framework to conduct procurement exercises, which factors to consider when capturing value from procured services/products and also a next step platform on how to positioning the importance of procurement and the cost it creates.
After this course, you will be able to apply the processes, skills, and tools that are fundamental to the success of the world’s leading procurement organizations.
You will be able to achieve double-digit cost savings and form productive business partnerships with your stakeholders.
You will learn how to develop business-driven procurement strategies. By becoming an advanced negotiator, you will be able to ensure your suppliers deliver the best value to your business.
Procurement Best Practice course is based around a series of activities and focusses on “learning by doing” to ensure you convert all the learning to back-in-the-office business opportunities.
You might be interested in other Purchasing and Contract Management programs as a next step.
YOU WILL LEARN HOW TO
Benefits of Attending
Significantly increase cost savings using best practice procurement
Create value for your stakeholders, turning them into supportive business partners
Play a strategic role in your organization by developing and implementing procurement strategies
Consistently deliver the best value to your business through effective supplier relationships
Become an advanced negotiator – effectively apply the ten negotiation maxims
IMPORTANT COURSE INFORMATION
Certificate
Students will receive Strategic Axis professional certificate accredited by UAE Government.
COURSE OUTLINE
Why cost saving is still the focus in business
What is best practice procurement?
How to exceed your procurement goals
Making procurement a business leader
Identifying your key stakeholders’
How to speak their language
How to apply win-win to your relationships
Analysing stakeholders’ objectives
Kraljic product portfolio matrix
Why are we always busy with less important things?
Strategies and actions to optimize savings opportunities
Policies and efforts to maximize business value opportunities
Why cost saving is still the focus in business
What is best practice procurement?
How to exceed your procurement goals
Making procurement a business leader
Identifying your key stakeholders’
How to speak their language
How to apply win-win to your relationships
Analysing stakeholders’ objectives
Kraljic product portfolio matrix
Why are we always busy with less important things?
Strategies and actions to optimize savings opportunities
Policies and efforts to maximize business value opportunities
Module 2: Strategic Suppliers
Supplier preferencing matrix
When you might need a motivated supplier
Building win-win relationships
Developing the Strategic Procurement Plan
Fundamentals of supply contracts
Why suppliers’ costs keep going down
Knowing your suppliers’ true prices
The total cost of ownership – Knowing your organization’s true cost
Why risk is so important
Risk management tools
Module 3: e-Procurement
Welcome to the future
Data visibility
Operational performance
e-Catalogues
e-Auctions
Module 4: Supplier Selection
Managing stakeholder input
Getting stakeholder buy-in
Focussing on business objectives
Building the Balanced Scorecard
RFP, RFQ, and RFI process
Selecting the right supplier
Why ethics are important to you and your organization
Examples of ethical challenges
Why sustainability is important to you and your organization
What is a procurement strategy?
Types of strategy
How to build your strategy
How to sell your strategy
Module 5: Developing the Strategic Procurement Decisions
- Make / Buy Decision
- Vertical Integration
- Alliances and Partnerships
- Inter-company Trade
- Reciprocity and CounterTrade
- Supplier Strategy
- The Coordination Strategy
- The Purchasing Organisation
Module 6: Dealing with Operational Procurement Decisions
- Selecting the most Appropriate Ordering Process
- Addressing Quality Issues
- Follow-up
- Overdue Orders
- Expediting
- The Payment Process
- Reducing the Cost of Procurement: Small Value Purchase Orders
- The Different Contingency Situations
- Contingency Management
- Spend Analysis
- Supplier Performance Measurement
Module 7: Procurement Negotiation
Focussing on objectives
Applying BATNA/LIM/ZOPA
What to hide from the other party
What to share with the other party
How to ask questions and listen to answers
Getting what you need – Turning objectives into variables
Managing negotiation concessions
Secret body language
Psychology of persuasion – Logic, emotions, and threats!
The ten negotiation maxims and how to apply them
