Everyone can buy, few can buy well. Why organizations invest in their own Procurement function — when everyone can buy. Everyone can buy. Anyone can search for suppliers, request quotes, compare prices, and negotiate. In fact, most people do these things in everyday life without calling it procurement. So it is fair to ask: If everyone can buy, why do companies need procurement professionals? The answer is simple. Procurement is not valuable because it alone can buy. Procurement is valuable...
20 days ago • 4 min read
A Statement of Work (SOW) is a document that a client or customer shares with a potential supplier or service provider, to communicate his requirements that must be satisfied. It is an essential document that sets out the objective of the project and the client’s expectations on how it should be met and delivered. A clear, well-written, accurate and complete SOW enables the supplier to establish a precise commercial value of the proposed solution. And typically the SOW becomes incorporated,...
about 1 month ago • 3 min read
Supplier Evaluation Essentials: Ensure You Are Picking the Right Partner to Deliver your ESG Objectives Lorem ipsum dolor sit amet, consectetur adipiscing elit. Morbi ultrices vehicula erat, eu faucibus ligula viverra sit amet. Nullam porta scelerisque lacus eu dignissim. Curabitur mattis dui est, sed gravida ex tincidunt sed. Story #1 Lorem ipsum dolor sit amet, consectetur adipiscing elit. Morbi ultrices vehicula erat, eu faucibus ligula viverra sit amet. Nullam porta scelerisque lacus eu...
about 1 month ago • 1 min read
Critical to smart buying is the ability to determine whether the cost of acquiring certain goods or services is, by far, surpassed by the benefits that can be gained. It is also fair to say that a good understanding of what drives the cost of goods or services is key to the buyer’s ability to maximizing the value that can be achieved from a purchasing transaction, where value is defined as the difference between the benefits gained and the cost of acquisition. Cost modelling provides the...
about 1 month ago • 1 min read
Contracting is a process where two parties enter into a legal agreement, where needs are defined and commitments and capabilities are aligned to meet those needs. It involves a legally binding document that clearly sets the expectations, rights and obligations, terms and conditions, rules for ensuring compliance and a process to manage any adjustments or provide resolution. Undertaking the contracting process involves going through several stages beginning from the initial invitation by one...
about 2 months ago • 2 min read
No doubt, one of the most important and useful skills that anyone can have, regardless of status or profession, is great negotiation skills. After all, in our everyday lives, we are commonly exposed to situations where we negotiate, at varying levels or extent, to keep harmony in our relationships and avoid conflict. In almost every interaction setting, we are likely to give and take concessions; in other words, we are most likely to make compromises and settle at a point to satisfy our own...
about 2 months ago • 3 min read
Imagine sitting across from one of your most powerful vendors—the OEM who built your production equipment,provides the maintenance service and spare parts to keep it running,and also happens to be the sole supplier of a critical packaging material for your best-selling product. They opened with a strong message: “We need to increase our maintenance fees in the next contract. We’ve been losing money for years.” The proposal? A 40% increase year on year.Most would have flinched. Instead of...
9 months ago • 1 min read