Strategic Sourcing

Overview:

Introduction:

This training program delves into the intricacies of strategic sourcing, offering participants a comprehensive understanding of its principles and methodologies. It empowers them to become strategic sourcing experts capable of driving cost savings and enhancing supplier relationships.

Program Objectives:

At the end of this program, participants will be able to:

• Understand the fundamentals of strategic sourcing and its importance in procurement.

• Identify sourcing opportunities and assess supplier capabilities effectively.

• Develop strategic sourcing plans aligned with organizational objectives.

• Implement negotiation techniques to achieve favorable terms and conditions.

• Evaluate supplier performance and manage supplier relationships for long-term success.

Targeted Audience:

• Procurement professionals.

• Sourcing managers and specialists.

• Supply chain analysts.

• Contract managers.

• Anyone involved in strategic procurement functions.

Program Outlines:

Unit 1:

Fundamentals of Strategic Sourcing:

• Introduction to strategic sourcing and its significance in procurement.

• Key principles and objectives of strategic sourcing.

• Strategic sourcing process: analysis, strategy development, execution, and evaluation.

• Role of strategic sourcing in achieving cost savings, quality improvements, and risk mitigation.

• Case studies illustrating successful strategic sourcing initiatives.

Unit 2:

Sourcing Opportunity Assessment:

• Identifying sourcing opportunities through spend analysis and market research.

• Assessing supplier capabilities, capacity, and performance.

• Conducting supplier segmentation to prioritize sourcing efforts.

• Analyzing Total Cost of Ownership (TCO) to evaluate sourcing alternatives.

• Examples to identify and prioritize strategic sourcing opportunities.

Unit 3:

Strategic Sourcing Planning and Strategy Development:

• Developing strategic sourcing plans aligned with organizational goals and objectives.

• Defining sourcing strategies based on category analysis and market dynamics.

• Implementing supplier relationship management strategies to foster collaboration and innovation.

• Establishing performance metrics and KPIs to measure sourcing effectiveness.

• Real-world examples of successful strategic sourcing planning and strategy development.

Unit 4:

Negotiation Techniques and Contract Management:

• Effective negotiation strategies and tactics for achieving win-win outcomes.

• Understanding negotiation styles and adapting to different situations.

• Contract management best practices, including contract drafting and review.

• Negotiating favorable terms and conditions while maintaining supplier relationships.

Unit 5:

Supplier Performance Management and Relationship Building:

• Evaluating supplier performance against predefined metrics and benchmarks.

• Implementing supplier scorecards and performance improvement plans.

• Strategies for managing supplier relationships and resolving conflicts.

• Enhancing collaboration and communication with strategic suppliers.

• Case studies on effective supplier performance management and relationship building.