procurement

Procurement solutions should not be viewed as fixes, as they can continue to offer benefits for. While it is practical to be realistic about initial profits and cost savings, nurturing a sourcing mechanism can prove advantageous in the long run. Let us look at some of the key objectives of procurement.  1). Long-term cost savings  You will invest less and gain significant results. This can continue for years and decades, and your organization will make cost savings a way of life. One must realize that there are barely any constants in sourcing and procurement. For instance, a marketplace that seems promising for cost might be outdone by another competitor in 2-3 years. A reputed agency can help you find the most profitable marketplaces at any time. 2). Surpassing regulatory barriers  Emerging businesses in the developed world face with expenses but that is not all. There are a lot of regulatory and…

Any business that wants to reap the benefits of low-cost global markets needs to make a move towards procurement services. But there is a problem to start with. The problem faced by thousands of business owners is a lack of insight. In this article, I’d like to bring some important notes for global procurement process.  1.   Suitable Procurement Location One of the most fundamental decisions of procurement is the location/marketplace/country. Taking this key decision becomes easy with intelligent insights from a procurement service provider. Procurement agency professionals use advanced analytical mechanisms to study potential target markets. The market offering the best conditions and benefits is selected. 2.   Manufacturing (or buy-in) Are you sure that investing in a low-cost market will actually help you make considerable gains? What if better management and some tweaks can make manufacturing more profitable? Once again, this is a decision that should be taken with the help of intelligence…

During my work in China sourcing industry for about 20 years, I’ve met many procurement professionals. I noticed that qualified procurement professionals have 5 attributes in common. 1. Excellent communication skills The procurement department often finds itself at the crossroads between multiple stakeholders: suppliers, customers, management, sales, etc. (If you need help identifying your company’s stakeholders, check out this article.) Excellent communication is essential. A procurement professional must be able to express him or herself clearly in writing and in conversation. Of course, a good communicator must also be able to listen in order to better understand the needs and perspectives of colleagues and suppliers. 2. Savvy negotiation skills This skill goes hand in hand with communication skills. The ability to negotiate doesn’t just refer to the ability to get something at the cheapest possible price; negotiations usually involve conversations about quality, delivery date, future relations, and more. A good negotiator knows…