Viewpoint Sept 2015


Future Purchasing Viewpoint
Mark Webb

Mark Webb

Managing Director,
Future Purchasing

Welcome to the September edition of FP Viewpoint.

Virtually every project, pitch, report or article that we have been involved in over the past 12 years has involved a discussion on procurement value

This experience has enabled us to develop a Value Levers Model that engages Procurement teams and stakeholders by clearly communicating the full range of value that Category and Supplier Management can deliver – going beyond cost, to include revenue and risk also.

Many teams are locked in a cycle where their category strategies are limited to using Volume Consolidation and Competitive Tension only. This model demonstrates the additional levers that are available, but usually inconsistently deployed – leaving value on the table for most categories.

Click to discover the FP Value Levers Model

The 2014-15 Category Management survey demonstrates that Leaders and Followers use different Value Levers to generate value.

This is because Leaders collaborate more extensively with technical stakeholders and suppliers. This allows them to access the complete range of Value Levers available. Leaders use this to deliver 40% more value than Followers.

Click to see the value levers used by Leaders and Followers from the 2014-15 Category Management Leadership Report

Call me today to discuss your thoughts:

+ 44 (0)7974 018022+ 44 (0)7974 018022 or email

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Benchmark Your Category Management Capability

Future Purchasing can benchmark your Category Management capability using our Catman Adoption Framework™ . This confirms the scale of additional benefit available to your organisation by optimising category management. We compare you against “world class” performance across 100 criteria and work with you to prioritise the improvement areas, develop an implementation roadmap and quantify the additional value available. The process takes 3-5 days and we believe this is the most effective way to start unlocking the 49%-111% additional value available from category management.

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“2014-15 FP Category Management Survey – Which Value Levers Do Leaders Use Most?”

Today we are focusing on a final topic from the DELIVER Section of our Category Management Survey

Identifying and implementing value opportunities is the key outcome of Category Management. This is what engages and motivates stakeholders and it raises a common issue for Procurement teams – creating a shared “value” language for Category Management that describes what has been achieved in terms relevant to stakeholders. The findings we are sharing today cover:

  • What are the six types of business value that Category Management can deliver?
  • What are the 15 value levers that can be used by Procurement to generate value?
  • Which value levers are used most by Leaders to generate savings?
  • Which value levers are used most by Followers to generate savings?

Access the 2014-15 Category Management Leadership Report

Leadership Report By using the link below you have immediate FREE access to the
Report Summary and can request a copy of the Full Report

Category Management Leadership Report   Link Arrow
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knowledge hub September's Most Popular Blog

The most popular blog during September
was “Top 10 Epic Fails in Category Management” . In this blog we identify 10 questions that identify whether your team is really doing Category Management.

Read the blog   Link Arrow
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Track8: Team empowering category management software. Use best practice tools to deliver more savings and reduce risk in less time.

Capability improvement   |  Visibility and control   |  Knowledge management   |  One way of working   |  Business collaboration

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