• .
    Mais informações

    Relatórios de analistas

    Blog

    Brochures

    Checklist

    Casos de sucesso

    Datasheets

    Aprender

    eBooks

    Infografias

    Notícias

    White Paper

    Contacto

    Seminários on-line

    Eventos

    Comércio autónomo

    ESG

    Sobre nós

    Plataforma JAGGAER One

    Carreiras

    Conformidade e Segurança

    Casos de sucesso

    Support

    Partner Marketplace

    Torne-se um parceiro

    Por indústria

    Educação

    Fabricação

    Energia y Utilidades

    Serviços Financeiros

    Cuidados de saúde

    Ciências da Vida e Farmacêutica

    Por indústria

    Retalho

    CPG

    Setor público

    Transporte e Logística

    Por função

    Compras

    Finanças

    Tecnologia da Informação

    Cadeia de fornecimento

    Por necessidade

    IA em compras

    Redução de custos

    Aquisição Direta

    ESG

    Integração com outros sistemas empresariais

    Rentabilidade das compras

    Otimização de fornecimento

    Visibilidade das despesas

    Cumprimento dos fornecedores

    Aprender

    Informes de analistas

    Blog

    Brochures

    Checklist

    Casos de éxito

    Datasheets

    Aprender

    eBooks

    Infografías

    Noticias

    White Paper

    Contacto

    Webinars

    Eventos

    Comercio Autónomo

    ESG

    Acerca de

    Plataforma JAGGAER One

    Carreras

    Cumplimiento y seguridad

    Historias de éxito

    Soporte

    Partner Marketplace

    Conviértete en partner

    Por industria

    Educación

    Manufacturing

    Energía y Utilities

    Servicios financieros

    Sanidad

    Farmacéutico y Ciencias de la vida

    Por industria

    Retail

    Bienes de consumo envasados

    Sector Público

    Transporte y Logística

    Por función

    Compras

    Finanzas

    Tecnologías de la información

    Cadena de suministro

    Por necesidad

    IA en compras

    Reducción de costes

    Compras directas

    Criterios ESG

    Integración con otros sistemas empresariales

    Rentabilidad de compras

    Optimización de compras

    Visibilidad del gasto

    Compliance de Proveedores

    Scopri di più

    Analyst Reports

    Blog

    Brochure

    Checklists

    I nostri clienti. Storie di successo

    Datasheets

    Imparare

    eBooks

    Infographics

    News

    White Paper

    Contattaci

    Webinar

    Eventi

    Autonomous Commerce

    ESG

    Chi siamo

    La piattaforma JAGGAER One

    Lavora con noi

    Compliance & Security

    Storie di successo

    Servizio Clienti

    Partner Marketplace

    Diventa Partner

    Per settore

    Education

    Manufacturing

    Energy and Utilities

    Financial Services

    Healthcare

    Life Sciences and Pharmaceuticals

    Per settore

    Retail

    Consumer Packaged Goods (CPG)

    Settore pubblico e regolamentato

    Trasporti e logistica

    Per funzione

    Procurement

    Finance

    IT

    Supply Chain

    Per necessità

    AI nel Procurement

    Riduzione dei costi

    Direct Procurement

    Obiettivi ESG

    Integrazione nell'ecosistema aziendale

    Procurement Profitability

    Sourcing Optimization

    Spend Visibility

    Supplier Compliance

    Success stories

    Service client

    Erfolgsgeschichten

    Kundensupport

    Lernen

    Analyst Reports

    Blog

    Broschüren

    Checklisten

    Kundenerfolgsgeschichten

    Produktflyer

    Lernen

    E-Books

    Infografiken

    News

    Whitepaper

    Verbinden

    Webinare

    Veranstaltungen

    Autonomous Commerce

    ESG

    Über uns

    Die Platform

    Karriere

    Compliance und Sicherheit

    Partner Marketplace

    Partner werden

    Nach Branche

    Bildungswesen

    Fertigende Unternehmen

    Energie und Versorgung

    Finanzdienstleistungen

    Gesundheitspflege

    Biowissenschaften und Pharmazeutik

    Nach Branche

    Einzelhandel

    Consumer Packaged Goods (CPG)

    Öffentlicher Sektor

    Transport und Logistik

    Nach Rolle

    Beschaffung

    Finanzen

    Informationstechnologie

    Lieferkette

    Nach Bedarf

    KI im Einkauf

    Kostenreduzierung

    Direkter Einkauf

    ESG-Ziel

    Integration in die Geschäftssystemlandschaft

    Beschaffungsrentabilität

    Beschaffungsoptimierung

    Ausgabentransparenz

    Lieferanten-Compliance

    Marketplace des partenaires

    Devenir un partenaire

    Ressources utiles

    Rapports d'analystes

    Blog

    Brochures

    Checklist

    Témoignages de nos clients

    Datasheets

    Learn

    eBooks

    Infographies

    Actualités

    Livres blancs

    Nous rencontrer

    Webinaires

    Événements

    Commerce autonome

    ESG

    À propos

    La plateforme

    Emplois

    Conformité et sécurité

    Par industrie

    Éducation

    Fabrication

    Énergie et Utilities

    Services financiers

    Santé

    Sciences de la vie et produits pharmaceutiques

    Par industrie

    Retail

    Consumer Packaged Goods (CPG)

    Secteur public

    Transport et logistique

    Par département

    Achats

    Finance

    Informatique

    Supply Chain

    Par besoin

    L'IA dans les achats

    Réduction des coûts

    Achats directs

    Objectif ESG

    Intégration dans le paysage des systèmes d'entreprise

    Rentabilité des achats

    Optimisation du Sourcing

    Visibilité des dépenses

    Conformité des fournisseurs

    Learn

    Analyst Reports

    Blog

    Brochures

    Checklists

    Customer Success Stories

    Datasheets

    Learn

    eBooks

    Infographics

    News

    White Paper

    Connect

    Webinars

    Events

    About

    ESG

    Autonomous Commerce

    JAGGAER One Platform

    Careers

    Compliance & Security

    Success Stories

    Customer Support

    Partner Marketplace

    Become a Partner

    By Industry

    Education

    Manufacturing

    Energy and Utilities

    Financial Services

    Healthcare

    Life Sciences and Pharmaceuticals

    By Industry

    Retail

    Consumer Packaged Goods

    Public Sector

    Transportation and Logistics

    By Role

    Procurement

    Finance

    IT

    Supply Chain

    By Need

    AI in Procurement

    Cost Reduction

    Direct Procurement

    ESG Goal

    Integration into Business System Landscape

    Procurement Profitability

    Sourcing Optimization

    Spend Visibility

    Supplier Compliance

    Blog

    Category Management: 11 Things We Learned

    Category Management

    The results from the Future Purchasing Global Category Management Survey are out.

    The focus this year is on business collaboration and how successful implementation increases the value of category management. There’s lots of insight but we’ve picked out the top 11 facts that differentiate the leaders from the followers.

    Don’t just talk cost.

    If your Category Managers don’t talk about price, cost, revenue and risk terms with their stakeholders then they are not being business people, who happen to do procurement.

    If they just talk cost, or worse just price, then the opportunity will likely still be very high. Consider bringing in a third party to do a review of the opportunity. You might find the results illuminating.

    Improve procurement capability

    Successful category management leaders have either successfully developed the category management capability of their team, or recruited category managers that already understand the process.

    With a business case that could triple or more the returns from procurement activity, building excellent capability to apply the process needs to be a focus.

    Create a learning and development program for your team. Don’t be tempted to ‘sheep dip’ everyone in the same training and coaching.

    Leaders build team competency increasingly by separating out category management activities from routine sourcing and transaction activities – to provide category managers with sufficient time to focus and practice.

    Focus learning programmes initially on those leaders that need to deliver it. Whilst internal delivery of coaching and mentoring is good, try to ensure a blend between internal and external delivery to challenge entrenched thinking and bring in new ideas.

    And finally, don’t forget to provide some coaching to the procurement leadership team – don’t assume because they are in senior roles, that they know everything too. Some 1-2-1 coaching can work really well to ensure they grow in confidence and help to steer the team on a daily basis in the right way to suit a category management approach.

    Do more category strategies

    Assess what % of your total spend you have a robust category strategy for. Be challenging to yourself, just because you have put a long-term deal in place does not mean you have a category strategy in place.

    A category strategy would have been pulled together within a cross-functional team. Based on evidence gathered through research and analysis, plus imagination from colleagues some strategic options would have been generated and evaluated. And an implementation plan pulled together, which is delivering.

    So, assess where you really are and put in place a realistic target to increase category strategy coverage over the next one to two years. As this is a key indicator of category management success and adoption, it needs focus.

    Embed category management in your organisation

    It is a fact that category management has never been embedded in an organisation that has a half-hearted commitment to the approach and there are many examples of toolkits “sat-on-the-shelf” gathering dust.

    Ask yourself are you fully behind this and then commit fully to it. You need a process, you need to develop the resources, you need to educate the business, and you need to provide enough time for the team, and enough enablers for the team to do their job. But first, decide in your process what to mandate to raise standards.

    All approaches to mandating specific activities and outputs must be customised to the environment in each organisation. Leaders categorise projects into specific types and decide the small number of tools and activities that must be used for each project type. Leaders document their mandated activities, measure compliance levels and review mandated activities at formal reviews and decision gates. If you’re not doing that, put in place a plan to do that.

    Remember where there is no framework or leadership commitment to a category management way of working, there is always going to be limited adoption of the approach and coverage of the total spend with category management. Leaders are more likely to prescribe tools and activities, and the leaders save nearly three times more than followers.

    Find more time

    For category managers, the first step is to analyse workload and reduce low-value-added activities (e.g. P2P) or create a separate team to handle these.

    A category plan should be created for each individual – built and agreed upon by the category manager and their line manager that realistically assesses what is possible given other activities, and makes a case for investment in temporary or other resources if not.

    Build a procurement PR campaign

    We procurement folk want other functional experts to pull on our expertise but you can reverse this in building a PR campaign.

    We suggest pulling on marketing or sales colleagues to help you learn to sell the benefits of procurement in your business. You’ll likely build a great relationship, a further understanding of the business and get some great new creative ideas to boot.

    They say that something needs to be said at least 11 times before it’s heard – so maybe it’s the same with shouting about those category management successes. So, say it, explain it, show it, act it, video it, newsletter it, present it, highlight it, email it, tweet it, blog it…. That’s 11!

    Have a flexible approach to category management

    If you are one of the third that have not articulated a modulated, flexible process for your category management activities in a way that this one process can be used for all spend and category projects, then look to do so.

    Identify what aspects of your process are ‘mandatory’ in all circumstances and make that process your “Light CatMan” process, add a few more for something a little more rigorous for a “standard CatMan” process and plenty more for a “Major CatMan” process.

    Two levels of flexibility are probably not enough, and more than four is probably overkill. Then work out some SIMPLE key guiding criteria to help your team work out which process to choose.

    Beware: don’t get too academic about all this – if you start to make it too tricky the teams will lose the will to live, and just do it the way they always have done! The acid test is can you keep the guiding ‘rules’ on 1 page? Is it understandable in 1 explanation? If the answer is yes, you’re in good shape!

    Balance your resources

    A good organisation design does not assume all staff are permanent – transactional and tactical work are ongoing needs and may be best resourced with permanent staff, but some strategic work may well be best manned by interims or consultants who bring their expertise in to challenge and bring new ideas, and lessen the time allocation over implementation to light project overview only.

    Additionally, annual category group planning will determine priorities for the next year – sometimes you will get a priority project that just needs a specialist on the team, as a temporary measure.

    A core team plus associates is a tried and tested model that works for many sectors from builders, various trades and professional services firms.

    The marketing function has been doing it for years – outsourcing brand strategy creation for example – and it’s high time procurement started to do the same. Be flexible.

    One way of working

    Leaders make category management their ‘one way of working’ by driving all activity through a single category management structure and process. If you don’t have a single category management process, with guides, templates and tools, get one: this is Category Management 101.

    Either buy it in, or create it yourself but remember if you create it yourself this will take a lot of time, when your time might be more valuably applied creating value for the business rather than process. Ideally have this housed online – manual category management processes are now quite clunky and out-of-date in this digital age, and slows teams down.

    Remember to consider the wider aspects of making this process work. This isn’t just the domain of the procurement function, but requires a wider business readiness for a focussed category management approach.

    Establishing the maturity of procurement capability across key areas such as Business Alignment, Structure and Governance, Leadership, People & Team Strength, Process Excellence & Technology and Category & Supplier Management processes are a key five of 10 I would recommend. Conduct a gap analysis of where you are now, and where you need to be to realise the strategic objectives of the business and plan realistically how you will close the gaps.

    Remember: getting a category management process ‘scribed’ is relatively easy, working out how to make it ‘stick’ as the one way of working isn’t.

    Set formal category management objectives

    It is possible that Procurement teams have not been successful in persuading their business stakeholders of the value of category management and the importance of it being a cross-functional cross-business way of working that benefits all parties, not just procurement.

    More proactive communication is needed to reverse this damaging trend because the only way that category management can truly work and realise those optimum levels that all respondents universally said were possible, is for procurement and category management to be seen as a business process, and not just something those ‘procurement people’ do. Setting business-wide objectives is key to this.

    Identify breakthrough value opportunities

    Ultimately category management is about finding additional value for the organisation throughout the full value chain from downstream customers, right upstream from first-tier suppliers and onwards.

    This could take the form of relatively small incremental improvements through to breakthrough opportunities that challenge the status quo and provide new ways of doing things. The process and toolkit needs to support the identification of breakthroughs in a systematic way with a common language that can be used across the team and stakeholders.

     

     


     

    About the authors

    Future Purchasing is a specialist procurement consultancy formed in 2002 and with its head office in Guildford, UK. They are acknowledged experts in highly practical procurement transformation, with a strong track record in cost reduction, category management and performance learning.

     

    The findings above are from the Future Purchasing 2016-17 Global Category Management Leadership Report titled, “Collaborating for Category Management Success. Bridging the Performance and Value Gap.”

    Additional Resources

    Maturity Assessment

    Take this quick Autonomous Commerce Maturity Assessment now to identify your maturity stage and the next steps to take in your journey.