Mutual Marketplace promotes a systematic and proactive approach to procurement and helps your institution define the categories of the goods and services you require.
Integrating category management in procurement cycles is a strategic move that cooperative financial institutions can leverage to reduce purchasing costs and foster mutually-beneficial relationships with suppliers. With Mutual Marketplace as your partner, you can make these goals a reality.
A category management plan offers the following benefits:
- Consolidate goods and services to primary suppliers
- Develop mutually-beneficial partnerships with suppliers
- Reduce costs
- Reduce supply chain risks
- Manage consumption
- Experience improvements in quality and availability
- Enjoy better value for money
The advantages are diverse, but their end-goals converge: to reduce costs and boost your organisation’s profitability.
Strategise Procurement through Category Management
Procurement, or the purchase of goods and services from pre-approved suppliers, is an important part of an organisation’s overall business strategy. One way to enhance it is to develop a category management process tailored according to your institution’s buying patterns and needs.
The basics of category management are simple: categorise the goods and services you buy, and your financial strategists will get a clear picture of your organisational spends.
- Categories with the highest spend – Can you justify your consumption of these goods and services?
- Categories with the highest savings potential – Can you regulate your consumption and keep your purchases at a minimum?
- Categories with the least/highest return on investment – Can you source other suppliers offering the same quality at lower prices?
With information on hand, you can re-evaluate your organisation’s priorities, adjust targets and plot a financial plan that regulates your spending behaviour.
Form Advantageous Partnerships with Suppliers
By following our category management plan, you’re taking the first steps towards forming beneficial partnerships with your suppliers.
The process pushes you to engage and collect information, such as product catalogues, certifications, financials, and more.
Category Management at Mutual Marketplace
Mutual Marketplace will guide you through the entire process:
- Category Planning – We’ll help you define categories and assess the items that fall under each one. We provide a template for ten categories with room for modifications. You’ll be able to customise them to reflect your organisation’s spending behaviour better.
- Category Management – We’ll help you manage your organisation’s demand and consumption of goods and services. We’ll also help you draft contracts to your suppliers.
- Category Development – After mobilising partnerships with your key suppliers, we’ll help you implement an updated and compliant procurement process.
Category management enhances procurement procedures, policies, and strategy development one step at a time. Allow the process to do its purpose, and soon, your cooperative financial institution will be able to buy smarter, pay less and save more.
Let’s discuss category management and other areas of procurement at your convenience. Give us a call or submit our contact form. We’re eager to hear from you.