Who sources your services or indirect categories?
Posted on 3rd August 2018 at 14:15
Raw or direct materials are generally managed by the Procurement department, but who sources services or indirect categories?
Services or indirect categories like Insurance, legal services, IT support, cleaning & security tend to fall outside the procurement departments responsibilities, dropping to Operations, Finance or a Director to arrange. This means focus on the task is fragmented along with other everyday jobs, and getting it completed and off the desk is more of a priority than cost & service levels.
In addition, there may be a tendency to go with a favoured supplier accepting terms that might not be in your best interests as a company.
At Pro Outsourcing Ltd we are able to focus our time on your indirect purchasing categories, negotiating favourable terms for you and using our experience to find suppliers that can meet your requirements. This area of spend is often where significant savings can be made through focused negotiation.
#category management #indirect #costsaving #services
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