What is 7 step strategic sourcing process?

The seven-step sourcing process is the process by which purchasing managers will obtain the critical products/services an organization needs in order to meet its wider goals. Every industry will use a version of the 7 step strategic sourcing methodology.

What is strategic sourcing framework?

Strategic sourcing is an approach to supply chain management that formalizes the way information is gathered and used so an organization can use its consolidated purchasing power to find the best possible values in the marketplace and align its purchasing strategy to business goals.

What are the 5 core processes for strategic sourcing?

This well arms a company heading into contract negotiations.

  • Utilization Management.
  • Vendor Strategy Development.
  • Spend Aggregation.
  • Objectively Informed Negotiation.

What are the steps in the strategic sourcing process?

Following these steps will produce the best results:

  1. Understanding the category. Clearly define the sourcing category or commodity.
  2. Know the supply market.
  3. Develop a sourcing strategy.
  4. Select a suitable sourcing process.
  5. Selecting a supplier and negotiating terms.
  6. Implement and integrate.
  7. Reporting and tracking results.

What are the types of sourcing?

Different Types of Sourcing Methods

  • Low-cost Country Sourcing.
  • Global Sourcing.
  • Prime/Sub Arrangements.
  • Captive Service Operations.
  • Conventional Agreements.
  • Operational.
  • Professional Services.
  • Manufacturing.

What are the 10 R’s of purchasing?

Parameters of Purchasing: The success of any manufacturing activity is largely dependent on the procurement of raw materials of right quality, in the right quantities, from right source, at the right time and at right price popularly known as ten ‘R’s’ of the art of efficient purchasing.

What are examples of sourcing strategies?

6 of the best sourcing techniques for recruiters

  • #1—Sourcing candidates through a recruiting database.
  • #2—Sourcing candidates through social media.
  • #3—Sourcing candidates through online job postings.
  • #4—Sourcing candidates via referrals.
  • #5—Sourcing candidates from within the organization.

Who is the vice president of Kearney strategic sourcing?

This one is a nice one: The ‘7 step’ Strategic Sourcing approach described by a Vice President of AT Kearney. A reference. At a glance, here are the main points covered in this article. By reading it, you will learn: By Thomas H. Slaight Thomas H. Slaight is vice president, A.T. Kearney, New York.

Which is the best 7 step strategic sourcing framework?

7 step strategic sourcing. 2.   7 Step Strategic Sourcing Framework is a very popular & effective management tool  Developed by the strategy consulting firm ATKearney, which is consistently ranked among top 10 consulting companies in the world  This Framework has been successfully implemented by MNCs like P&G, HUL, IBM & DELL etc.

Who is involved in the strategic sourcing process?

Suppliers are invited to be part of the process to varying degrees, depending on the class of category or market dynamics. Senior corporate executives are briefed on key spend categories and may enter the process when the financial or operating impact of an option is significant.