BPO Future Forward: 6 Ways to Drive Procurement Effectiveness
Post on 30-Jun-2015
DESCRIPTIONKeeping costs low through category and demand management, process improvement and supply chain optimization these have always been a procurement mandate. But today, the functions scope has expanded to include new deliverables enhance the revenue side of the P&L, leverage the supply market to help drive product (or service) range enhancement, open new channels to market, and more. While trying to accommodate and deliver on the new demands, a new paradigm is emerging one that covers the entire procurement function from strategy to transactional buying and all the enabling activities. For this, a skilled procurement team is essential a requirement that enterprises are grappling with today. To fill the gaps, augment and complement in-house strengths, enterprises are exploring specialist providers that bring specialized skills to the table. As enterprises look to leverage specialist providers, here are six ways to drive benefits with approaches that range from analytics-based to value-focused.
- 1. THE SOURCING AND PROCUREMENT(S&P) SERIES6 ways to driveprocurementeectivenessThe mandate for most chief procurement ocers (CPOs) today is to deliver and sustain valueyear-on-year with limited resources and budgets. Thats why they need a skilled business processoutsourcing (BPO) partner to make their procurement operations more eective. Here are 6 waysto drive benets with approaches that range from analytics-based to value-focused.1. GET THE RIGHTOPERATING MODEL 2. BENCHMARK TARGETS 3. BOLSTER STRATEGICCAPABILITIESNetwork with industry leaders at InfosysBPO.com/communityInfosysBPO.com/procurement_strategyFind a BPO partner with a good mix ofseasoned procurement professionalsthat not only augment the internalteams, but also bring to the table,deep category expertise andprocurement consultingFollow us @infosys_bpo#ProcurementThis starts with achievingfunction-wide clarity on roles acrossspend categories, functionaldependencies with nance teams, andvalue delivery targets by categoryportfolios6. ROBUST ANALYTICSAND REPORTINGExecute a capability benchmarkingassessment to identify functionalperformance gaps and a valueassessment across the full externalspend base to maximizevalue deliveryLeverage high calibre specialistanalytics resources who can providecategory-specic dashboards, ad hocanalytics support, spend cube analytics,and benets tracking4. DERIVE VALUE FROMTACTICAL ACTIVITIESFormalize structured processes thatbring focus to areas like supplier panelmanagement services, contract topurchase, and catalogue management5. ENSURE COMPLIANCEGet a dedicated team to monitoroperational procurement processessuch as master data management,invoice validation, and accountspayable processes
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