Category management, a discipline implemented more than 30 years ago in the purchasing function and yet more current than ever.
Have you ever asked yourself these questions:
Why, despite the fact that Category Management, a discipline originating in the 80s and with more than 30 years of life in the purchasing function, are there so few companies where it is really effectively implemented?How can we face the Category Management of the future and what would it consist of?Can we, from Purchasing, contribute to the business objectives with an advanced, effective Category Management adapted to reality? How, as organizations, do we face the purchases of the future in a world where online sales will prevail as a consumption model?
Today, from our Mirihi Blog entry, we want to answer these and many other questions related to Category Management, an optimal discipline for each organization that must be flexible at the same time but with a solid adoption, without traumas.
Category Management TODAY
Today, the Category Management process by itself does not make sense, we need to accompany it with a fluid, trustworthy and solid relationship with our internal partners and with suppliers, as well as with appropriate risk management, having learned from the mistakes of the past. and anticipating future events.
In the 21st century, but especially in these times, Category Management needs to be expanded to the entire organization, ceasing to be a Purchasing process, to become a transversal process for almost the entire company. The necessary disruption in the process involves considering the Category Management process as a true business process, contributing, from Purchasing, to the good or service in question, the differential value of ‘buying well’, in a fair and sustainable manner and, as far as possible, being valued by our end customer.
Category Management in the Purchasing function of the 21st century must have a decisive influence on the digital transformation, of Purchasing in particular, and of the organization in general. We must promote the ‘zero-based’ process and mentality in relation to the different categories and their spending, and especially in the so-called discretionary spending, as well as promote effective collaboration, in general with all internal partners, and in particular with the financial and technological functions. Once again, Category Management must go hand in hand with the establishment of internal collaboration networks, with the different business functions, and especially with partner and key suppliers, with an implicit, sustainable and socially responsible risk management.
Along with all of the above, Category Management must increasingly rely on professionals with business knowledge, that related to the categories to be managed, with the capacity for criticism and constructive collaboration, and with credibility to manage demand truly efficiently. It will not be possible to transform digital or the Purchasing function without a change in mentality, ways of doing things and how to face challenges and problems.
“Buying well” has never been so necessary
Never “buying well”, with all that this represents, has been more relevant and critical to making companies solid organizations with a future.
From Mirihi we can accompany you on this journey, with an offer of strategic consulting in Purchasing and Supply Chain, and especially, with a senior team, with proven experience and with the transformative attitude that, already in the present, but above all the future , will require us. If you want to know how we can help you or how we can make a diagnosis of your purchasing function, do not hesitate to contact us here.
