Measuring Purchasing performance is essential for effective management and continuous improvement of the purchasing function. Purchasing evaluation provides vital feedback to the purchasing department as well as top management for assessing the effectiveness of an organization’s purchasing strategies and decision-making processes. Overall performance of an organization is strongly affected by how well the purchasing function can contribute to the firm’s strategies and goals.
Measuring purchasing performance is important, as the purchasing department plays an increasingly important role in the supply chain during an economic downturn.
This Measuring Purchasing Performance course enables those who are responsible for the day-to-day management of purchasing and procurement activities to measure the effectiveness of the function and deliver enhanced performance.
Specifically, it can help participants add value to the organisation through:
Increased probability of on-time and on-budget delivery
Improved quality and satisfaction levels
Reduced internal customer complaints and costs
Identification of added value
Lower risk generated from procurement decisions
By the end of the Measuring Purchasing Performance Programme participants will be in a position to add value to the organisation by being able to:
Prioritise the aspects of the procurement function that should be measured
Explain the ‘five rights’ of procurement
Understand the importance of the delivery of procurement activities of the right quality, on time, and to budget and why these facets of the procurement function need to be measured
Measure quality delivered from the procurement function using both objective and subjective data
Explain the importance of on-time delivery
State why the right cost base needs to be attained from the suppliers by the procurement operation
Recognise why stakeholder satisfaction is critical and needs to be measured
List the core elements of the risk cycle and identify how each is measured
Outline the important aspects of measurement in personnel and team management
This Measuring Purchasing Performance Course ideal for:
Managers and support staff working within a procurement function where supplier selection, supplier management and process control add value to operational performance.
All procurement teams involved maintaining effective relationships with internal users and suppliers.