How can purchasing professionals demonstrate their value to senior management?

Procurement professionals have a golden opportunity to prove their value to senior management. By aligning their goals and actions with the organization's overall strategy, tracking key performance indicators (KPIs), and revisiting contracts, they ensure efficiency. They also eliminate maverick spending, review uncompetitive costs and challenge specifications. Moreover, they can shape how others perceive them and contribute significantly by focusing on cost reduction, strategic sourcing, process enhancement, risk management, compliance, and innovation, ultimately leaving an indelible mark on enterprise success.

Initiation of procurement projects and category planning with clear or most relevant savings hitting the bottom line of the company can be displayed, much more data oriented supply chain analytic tools makes the job much easier as Senior management team understands “numbers”. A procurement professional’s perspective should be clear enough to align with the company’s vision and mission which not only comprises of cost but sustainable growth in departments throughout the tenure.

Follow the company goals and strategies. Present your yearly savings done on contracts/items. Show them the benefits of items purchased or on going projects. Increase your knowledge with learning new skills which can help you negotiate better compensation.

Develop buying plans, forcaste prices, develop non-traditional sources of supply, report results and improve communication skills. Next-level procurment (not purchasing) requires expert commodity knowledge, supply-chain expertise and much more. Cliche's like find the right vendors, and buy the right product at the right price in foodservice (at least) is not a winning formula as distributors and vendors continue to reduce SKU's and allocate products.

On a tactical level all members of any organisation need to demonstrate the delivery of the company value proposition. Purchasing is required to be a 'value add' process within the organisation. The Value added is to engage suppliers in the collective delivery of improved performance, sharing ideas and looking to reduce total cost and increase mutual benefits in the overall relationship.

Apostem num canal interno de comunica??o (uma intranet ou uma newsletter periódica, por exemplo) que vos permita comunicar com as áreas internas. Onde partilhem boas praticas, noticias, onde tenham um repositório dos documentos corporativos de compras, onde tenham o cockpit de gest?o de compras efetuadas por departamento, por categoria, por geografia; condi??es de pagamento; poupan?as alcan?adas; leadtimes; KPI's, etc. tenha um campo de sugest?es para receber inputs dos stakeholders, adopte um sistema de "likes" nas comunica??es/publica??es que partilha para perceber o impacto; Fa?a um relatório anual e partilhe com o corpo diretivo da empresa e com a administra??o.... há conquistas que passam despercebidas na correria do dia a dia....

Debe tenerse una estrategia clara de comunicación, esto implica determinar un plan a mediano y corto plazo, indicadores de seguimiento y sobre todo evidencia de resultados a tiempo. La socialización por etapas es clave, ir escalonando la comunicación de resultados e ir subiendo para potenciar el mensaje.

Don’t be afraid of PowerPoint, some people are more visual. A good chart or graph demonstrating performance can go a long way

Its very important to have a record of every result, in order to have an updated information of the profitability of the products. For example some times you have a price increase, but you can negotiate a bit better price for a larger quantity, still a price increase, but there is avoidance on the price and you need to show that record.

Utilizem e divulguem indicadores do setor, sobre o tempo médio de pagamento, tempo de resposta e principalmente o saving. Esse último é o mais importante. Além de divulgar, realizar campanhas entre os membros do time é importante e ajuda a potencializar os ganhos e a visibilidade para o setor.

Consolidando relaciones con proveedores a largo plazo convirtiéndose en socios-colaborativos. Y al mismo tiempo, poniendo foco en la eficiencia operativa: * Controlando muy bien la rotación de inventarios, midiendo perfectamente los tiempos desde el inicio de la compra hasta la venta. * Buscando la optimización logística de la cadena de suministro. * Y no olvidar el cumplimiento de normativas y regulaciones para cumplir con los estándares de calidad definidos para nuestro producto.

One thing I found useful that keep posting or sharing the cost benefits and comparisons with previous cost of the items services contracts with the management and end users. Also could be share how much delivery time is improved time to time. Negotiations on delivery charge extra warranty period etc effort also could be highlighted..,,

Exactement, il faut donner tous d'abord pour recevoir après , c'est un principe de vie ! De cette fa?on, l'acheteur va avoir des contacts influants et proactives.

1) Make sure your objectives are aligned with the global company objectives (Hoshin). 2) Learn how to "sell" your wins internally

Nowadays the importance of Corporate Social Responsibility to bring more value to an organization cannot be denied. Procurement can encourage social and environmental responsibility by tracking expense data for suppliers who meet your requirements for Disadvantaged Business Enterprise (DBE), locally sourced, or energy-saving strategies.?? Working with diverse suppliers also promotes healthy competition and spreads innovative ideas. Further, partnering with socially responsible suppliers can also help align with your organization’s mission and goals while encouraging employees to know that they are making a difference by doing business with other valuable companies.?

purchasing professionals can demonstrate their value to senior management by consistently delivering tangible results, aligning procurement strategies with organizational goals, and effectively communicating their contributions. Being proactive, strategic, and responsive to the organization's needs is key to gaining the recognition and support of senior leadership.

These are just a few ways that procurement managers can demonstrate their value to top management. Ultimately, procurement managers should align their goals and objectives with the organization's overall strategy and focus on delivering measurable results that enable the organization to achieve its business objectives. Those are as bullet points; 1. Cost Savings 2. Risk Management 3. Innovation 4. Process Improvement 5. Strong Relationships

Purchasing professionals should strive for continuous improvement in their processes and practices. By implementing streamlining procurement workflows, and actively seeking feedback from stakeholders, they can demonstrate their commitment to enhancing efficiency and effectiveness. Highlighting successful process improvements and their impact on the organization's operations can help showcase their value to top management.

Being a problem solver. Always inquiry, look for alternatives and consider all possibilities. To Think outside the Box. Don't be limited.