In both corporate boardrooms and informal kitchen discussions, retailers of all scales eagerly strategize for the future. They enthusiastically contemplate venturing into new markets, expanding their customer base, amplifying online sales, or optimizing operational efficiency. Retail budgeting serves as the empowering financial blueprint of their strategic vision for the upcoming year. Once finalized, it becomes

Today, I want to reveal why procurement is not just a career but a thrilling adventure. 01. The Thrill of the Hunt: Uncovering the best deals isn’t just business; it’s a detective game. You’re the Sherlock Holmes of sourcing! 02. World Explorer: Procurement takes you on a global journey, from negotiating with exotic suppliers to

What are Key Performance Indicators (KPIs)? KPIs are essential metrics tracking progress toward goals. They aid in decision-making and performance evaluation for organizations. One of the biggest steps in developing a more strategic approach to procurement (and spend analytics) is setting KPIs. 𝙆𝙚𝙮 𝙋𝙚𝙧𝙛𝙤𝙧𝙢𝙖𝙣𝙘𝙚 𝙄𝙣𝙙𝙞𝙘𝙖𝙩𝙤𝙧𝙨 (𝙆𝙋𝙄𝙨) 𝙖𝙧𝙚 𝙨𝙥𝙚𝙘𝙞𝙛𝙞𝙘, 𝙢𝙚𝙖𝙨𝙪𝙧𝙖𝙗𝙡𝙚 𝙖𝙣𝙙 𝙖𝙘𝙩𝙞𝙤𝙣𝙖𝙗𝙡𝙚 𝙫𝙖𝙡𝙪𝙚𝙨 𝙩𝙝𝙖𝙩 𝙖𝙧𝙚 𝙞𝙙𝙚𝙣𝙩𝙞𝙛𝙞𝙚𝙙

Is there a way to find out to get Procurement savings to the Bottomline? 𝙄 𝙗𝙧𝙚𝙖𝙠 𝙢𝙮 𝙏𝙧𝙖𝙣𝙘𝙚𝙏𝙖𝙠𝙞𝙣𝙜 𝙢𝙮 𝘾𝙝𝙖𝙣𝙘𝙚𝘼𝙣𝙙 𝙍𝙤𝙢𝙖𝙣𝙘𝙞𝙣𝙜❤️🥰 𝙬𝙞𝙩𝙝 𝙁𝙞𝙣𝙖𝙣𝙘𝙚 But I found a disconnect here. Both Procurement and Finance view savings differently: 𝙁𝙤𝙧 𝙋𝙧𝙤𝙘𝙪𝙧𝙚𝙢𝙚𝙣𝙩: 𝙎𝙖𝙫𝙞𝙣𝙜= (𝙃𝙞𝙨𝙩𝙤𝙧𝙞𝙘𝙖𝙡 𝙋𝙧𝙞𝙘𝙚 – 𝙉𝙚𝙬 𝙋𝙧𝙞𝙘𝙚) 𝙓 𝙁𝙤𝙧𝙚𝙘𝙖𝙨𝙩 𝙑𝙤𝙡𝙪𝙢𝙚 𝙁𝙤𝙧 𝙁𝙞𝙣𝙖𝙣𝙘𝙚 𝙎𝙖𝙫𝙞𝙣𝙜 = 𝘽𝙪𝙙𝙜𝙚𝙩𝙚𝙙 𝘾𝙤𝙨𝙩 – 𝘼𝙘𝙩𝙪𝙖𝙡

What is TCO (total cost of ownership)? Introduction Total cost of ownership (TCO) is an estimation of the expenses associated with purchasing, deploying, using and retiring a product or piece of equipment. TCO, or actual cost, quantifies the cost of the purchase across the product’s entire lifecycle. Therefore, it offers a more accurate basis for

What Are Capital Expenditures (CapEx)? Introduction to Capital Expenditure (CAPEX) Procurement: Capital expenditures (CapEx) refer to the funds allocated by a company for acquiring, enhancing, and preserving physical assets like property, facilities, technology, or equipment. CapEx is commonly employed for initiating new projects or investments within a company. These expenditures on fixed assets encompass activities

10 Proven Strategies for Dominating Tail Spend: A Definitive Guide to Maximizing Savings and Efficiency In procurement and supply chain management, “tail spend” represents the underbelly of a company’s expenses, punctuated by myriad low-value transactions. Despite its seemingly diminutive stature, this unassuming aspect wields considerable influence over finances. This comprehensive guide peels back the layers

MRO, or ‘Maintenance, Repair and Operations’ is used to refer to more or less all maintenance parts used for repair and/or to assist production operations. Essentially, MRO covers all the products and tools purchased that keep an organization running. Supply chains utilize and rely profoundly on MRO to carry out their operations every day. Interestingly,

WHAT IS INDIRECT PROCUREMENT? In the dynamic landscape of business operations, strategic procurement extends far beyond the traditional realms of direct purchasing. Indirect procurement, often overlooked but immensely impactful, plays a pivotal role in driving efficiency, minimizing costs, and enhancing organizational performance. In this comprehensive guide, we explore the profound significance of indirect procurement, its

Bill of Materials (BOM) is a comprehensive list of components, parts, materials, and sub-assemblies required to manufacture or assemble a product.  In procurement, BOMs are significant for several reasons: 1.𝙎𝙤𝙪𝙧𝙘𝙞𝙣𝙜 𝙖𝙣𝙙 𝙎𝙪𝙥𝙥𝙡𝙞𝙚𝙧 𝙎𝙚𝙡𝙚𝙘𝙩𝙞𝙤𝙣: BOMs help procurement teams identify the specific materials and components needed for production. 2.𝗖𝗼𝘀𝘁 𝗘𝘀𝘁𝗶𝗺𝗮𝘁𝗶𝗼𝗻: BOMs enable procurement professionals to estimate the