Core categories are those spend areas that are directly related to the products or services your business offers. They differentiate your company in the marketplace and create competitive advantage. The rest, the “non-core” spend, may include categories such as facilities, logistics, stationary, consumables, consulting, travel, fleet, uniforms, stationery and many others. In short, non-core is anything your organisation needs to purchase, but which does not drive its competitive advantage.
Focus your procurement team on the areas that make the most difference: the core categories. Outsourcing the non-core category management gives you the ability to leverage and focus your procurement team skills on the most critical categories.
Associated Procurement has the depth and focus to ensure that savings are delivered and sustained in your non-core categories. Working with you and your customers in the business, we can jointly develop a category sourcing strategy which is designed to deliver consistent, measurable bottom line benefit over several years. The focus is to get the best commercial solution for each area of your business and ensure that you achieve a high return on your investment with your suppliers and with Associated Procurement.
Associated Procurement has the capability to cover the full scope of category activities, including:
• specification setting
• developing a comprehensive category strategy
• contract negotiation
• ongoing supplier management
• service level agreements
• performance management
• escalation
• contract renewal
• negotiation of variances
Not only can category-specific outsourcing prove more sustainable and economical, it also allows you to reallocate valuable resources and focus on the core categories that matter most to your organisation.