Strategic Procurement Management & Procurement Analytics

In any organisation, a significant proportion of costs are accounted for by the purchases of products and/or services, hence organisations see procurement and supply as a key contributor to their value-added strategies. Equally, any organisation will also be managing the supply of products and/or services to their customers, be they internal or those from external organisations.

Procurement analytics is a process that examines procurement transactions to identify relevant patterns and trends in detecting procurement anomalies and enabling procurement productivity. The capability to identify and analyse these anomalies and areas for procurement improvements will enhance the organisation’s procurement governance and productivity.

The course will provide participants with the information and knowledge to learn how strategic procurement is critical to successful corporate outcomes and understanding the elements that go into strategic product purchases.

It may cover, but not be limited to, the following:

Categories of spend in an organisation

·       Definitions of procurement and purchasing and supply

·       Typical breakdown of organisational costs represented by procurements of goods, services or constructional works

·       Stock and non-stock procurements

·       Direct and indirect procurements

·       Capital purchases and operational expenditures

·       Services procurements

Sources of added value in procurement and supply

·       The five rights of procurement

·       Defining total life cycle costs or the total costs of ownership

·       Achieving quality, timescales, quantities and place considerations in procurements from external suppliers

·       Other sources of added value such as innovation, sustainability and market development

·       Defining value for money

Key stages of a sourcing process

·       Stages of the sourcing process that relate to identifying needs, creation of contract terms, supplier selection, contract award and contract or supplier management

·       The purpose and added value that is created by each of the stages of the

sourcing process

Enabling Procurement Governance

·       What is procurement analytics?

·       Challenges in procurement analytics – Impact of using big procurement data

·       Procurement analytics approach – How to carry out a procurement audit?

·       Procurement analytics system – Approach to detect procurement fraud

·       Implementing procurement analytics system

·       Benefits for implementing procurement analytics system – secure compliance and value for money