Category Management is an approach to Procurement that is gaining ground in both the public and private sectors. In Category Management, products or services that have similar characteristics and are bought from similar supply markets are grouped together and treated as a discrete group or category. These categories are then more manageable from a procurement perspective because the items in a category require the same supplier market intelligence, the same sourcing strategies and similar supplier relationship management programmes. The course intends to work with the Category Teams in a systematic way to identify the categories of purchase and develop a defined category sourcing strategy that provides efficiencies and cost reductions.
The Category Teams will develop a category sourcing strategy by applying the Category Management process framework, which is simple, proven, and it works. Category Management is a continuous process and not a one-off improvement project. Category teams will need to know about and apply several technical tools. Still, category management can also be thought of as a change management process, and indeed the introduction of Category Management will usually require changes to the organisation's processes, to relationships (both internally and externally) and organisational changes. Like any change process, it requires stakeholder commitment, good communication and the right resources. Key to its success and application is that it requires teams to work across organisational, departmental and functional boundaries. This can be very demanding and require energy, communication, managerial support, and sponsorship. This session will coach and mentor the category teams on their “real category projects” prepare the teams to refine the categories, and develop a category sourcing strategy that can be applied, considering stakeholder management, communication plans and market analysis. The Category teams will be provided with templates and checklists and will see on their projects how the tools and techniques apply to their category.
The combines classroom instruction with hands-on coaching designed to teach the development of a category sourcing plan. We strongly recommend that the teams have a pre-defined “Category Project” for the workshop. Teams are expected to bring all data and materials related to the category.
You Will Learn
Day 1: Business Objectives and Planning
Day 2 and Day 3: Commodity Analysis
Day 4 & 5: Options and Strategy
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Category Management (CAT MAN)
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