If you subscribe to Inside Supply Management magazine, turn to page 37 of this month’s issue (July 2005).
There, you’ll find a quote from me answering the question “What’s most critical when adapting to a new spend or commodity area?”
I reply with a 4-step process that I’ve successfully used. I won’t duplicate the article here, but here is the outline of the process:
1. Analyze transaction data
2. Engage key stakeholders in the sourcing process (a strategic sourcing best practice)
3. Consider future demand forecasts
4. Benchmark externally
The article contains more “meat” on what each step involves.
I welcome you to post your comments on the article here. Just click the comments link below.