SAP Supports a Strategic Sourcing Organisation:
World class procurement analytics are essential to unlock the value add in procurement:
- Leverage consolidated buying power.
- Identify opportunities for supply chain collaboration
- Define strategic procurement objects and targets
- Measure procurement performance.
- Unpack the procurement strategy and define key strategic sourcing measurements, targets and functional compliance requirements .
- Design and implement robust and streamlined functional SAP procure to pay processes that will enable a dynamic strategic sourcing function.
- Provide procurement measurement and analytics to unlock your organisations strategic sourcing potential.
Building blocks for a Strategic Sourcing organisation
1) Strategic Sourcing Definition
- Procurement policy:
BBBEE, SMME, Environmental, Supply Chain collaboration
- Governance standards:
LOA's, code of ethics, optimal procurement methods, risk management
3) Operation Procurement Measurement
- High level of Data integrity
- Categorisation of all spend
- Measured performance actual vs target
- Supplier performance evaluation
2) Operational Procurement Execution
- SAP integrated P2P processes to meet business needs
Operationally robust and streamlined
Legal and corporate compliant
Decentralised leverage of buying power
- High quality master data
Vendor Classification and corporate grouping
Material Spend classification
Procurement Price Integrity
4) Strategic Sourcing
- Top 10 category focus
- High quantity business analytics
- Identification of sourcing opportunities
- Total cost insights
- Supply Chain Collaboration
- Contract Driven