Future Purchasing Advent Calendar Window Eleven

Posted 11/12/2016


“61% agree Category Management is well aligned with the organisations’ strategic objectives.  This is a top 10 driver of company performance.”

Alignment between category management and the organisations broader objectives is a Top 10 driver of category management and ultimately firm performance.

85% of Leaders strongly agree or agree that their category management was well aligned with their organisations broader strategic objectives. This compares with 52% of Followers.

In 2014-15, 92% of Leaders strongly agreed or agreed with this alignment question. This drop-off is partly accounted for by the strongly agrees dropping from 39% to 32%.

The Followers have slightly improved performance over the past two years with a marginal increase to 52% strongly agreeing or agreeing that category management was well aligned with their organisations broader strategic objectives.

New Year’s Resolution No.11:   If you don’t already, put in place a formal category planning process, starting approximately 3-4 months before budgets are finalised to agree a set of prioritised projects between the procurement organisation and interested stakeholders, testing that they sensibly align with corporate objectives. Test this again when you form a category management team by setting out a team charter, stating the targets for the project and how they align with the organisations’ goals. Alignment and focus will see that 61% soar. (See Window 7 and New Year’s Resolution No. 7 too for further insight to category planning).

You can click below to download our 2016-17 Global Category Management Leadership Report Executive Summary.




Tagged by topic: Category Group Planning , Category Management , Category Management Survey

  by Allison Ford-Langstaff

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