Jeremy Ferrer
Webinar :
Optimize your C-Class purchases and boost your results.
January
A project by outsourcing C-class procurement, whatever it is, lasts at least three months and can go up to more than eight months.
Moreover, taking into account their perimeters, challenges and risks, numerous prerequisites must be anticipated.
It is therefore necessary to both secure the target and its trajectory without losing reactivity:
“The more time you give a job to get done, the more it tends to take that longer time to get done.”
Cryril Northcote Parkinson
Some deadlines are inherent to the project and therefore incompressible. In the case of a procurement outsourcing project for example, between decision-making, the drafting of a tender and the selection of a potential service provider, a minimum of four months is required.
Then, a due diligence phase allows the drafting of the contract and the negotiation of detailed financial terms after the signing of a confidentiality agreement and the selection of service providers to support this due diligence phase (advice, specialized lawyer, etc.).
Depending on its complexity (one or several sites, one or several countries, a precise perimeter or to be delimited), this phase can last from a few weeks to more than six months. Finally, the establishment of the new organization and its installation in recurring mode also take several months before the expected services are perceptible by users.
THElocalization from the organization to new operating methods is also an element to be anticipated: it is necessary to plan for a presentation of the new mode of operation and support during the first months in order to give every chance to the new organization of C-class supplies.
An emergency mode that makes it possible to respond to unforeseen and justified requests outside the contractual framework provided for is also desirable. It is also at this price that businesses will understand the cost of their urgent requests and will come to prioritize them, or even filter them naturally.
The organization's ability to accelerate the transformation cycle through management of procurement outsourcing projects is a key element of sustainability.
The company must prove its ability to successfully replicate this type of project in order to be more reactive and adaptable to internal and external challenges.
It is by professionalizing, to anticipate the transformation proactively, that the company will be able to manage it over the long term in a secure manner.
In conclusion, the outsourcing of C-class purchases is a real business project: a transversal project affecting the entire organization which must therefore be managed.
Above all, it is a global reflection on the organizational model, with strong impacts on corporate culture, career management and management style. It is the confirmation of the transition for companies from a multi-country model to a completely global model as part of a growing international development strategy.
It is no longer a question of managing this type of approach as a one-off project, but of integrating it into the company's own strategy, of adapting its organization to make procurement outsourcing, in a sustainable way, a real business process, a factor of competitiveness, differentiation and agility.
It is therefore a new approach to transformation that must be anticipated and implemented.
You may also be interested in these articles:
Do you have a question? Our purchasing experts will get back to you as soon as possible! The Kraljic matrix has established itself as an indispensable tool in the buyer's toolbox. It is a representation of the company's purchasing portfolio. It puts in...
Non-strategic purchases (also called C-class purchases or spot purchases) are few in volume, but represent significant hidden costs for the company. Thus 5% of the total volume of corporate purchases are C-class purchases, these...
The benefits of a healthy relationship are numerous: Faster time to market Increased cross-cutting efficiency Increased competitiveness Increase in turnover Technology as a facilitation toolTechnology is a facilitating lever for...
.svg){kind=small}