Better Buying Concepts

 
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The performance of the purchasing department must be measured, to ensure that :
  • objectives are reached
  • a return on investment on assigned resources is made
  • real contribution to value creation is achieved

Purchasing is a support function. As such the performance it generates is delivered through operational departments, who in turn deliver the company results.

How much of those results is due to purchasing, and how much to operations ? Who measures the performance? We recommend that Controlling provides the measure of purchasing performance.

However, the Purchasing Dashboard contains much more than savings ! One must also monitor :

  • the quality of purchased products and services
  • supplier service and reactivity levels
  • innovation delivery
  • buyer performance and leverage used
  • the impact on the environment made by the supply chain
  • global performance of suppliers
Better Buying Concepts assists in setting up pertinent dashboards to monitor the delivery of your purchasing strategy.
 
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