Procurement
 
Procurement is the discipline of managing your suppliers to best achieve your business objectives. It goes beyond traditional tactical purchasing activities such as ordering or receipting of goods, to focus on an organisation’s strategic objectives. Procurement remains one of the greatest areas of opportunity for all businesses to improve their bottom line. Management Toolbox can uncover that opportunity in your business by applying our expertise, experience and established processes to the specific circumstances that face your business.
 
 
Management Toolbox considers each of the phases in the procurement process, from identifying and selecting the opportunity area, to selecting suppliers, negotiating agreements and implementing agreed processes and supplier performance management. We address the key areas of need for each client, and ensure that client staff work with us to ensure ongoing management of effective processes and relationships by your team, not ours.
 
Management Toolbox can demonstrate many projects that have delivered a return on investment well in excess of 500%.
 
We can boost performance of your business with specialised procurement products such as SalesStrat and Spendvision.
 
We work with our clients to consider the three essential components of a successful procurement strategy:
 
Total Cost of Ownership
Too often, companies consider only the price of supplies, and forget the hidden costs – or have no way of measuring them. Management Toolbox works with you to identify costs such as administration, invoice numbers, queries and disputes, re-work, wastage and inventory levels as well as out of stock and delivery issues. By focusing on total cost reduction techniques, and having the tools to measure TCO, we enable clients to reduce costs, make greater savings and improve relationships with suppliers.
 
Sourcing Strategy
Your sourcing strategy should be based on a detailed understanding of your business needs and the strategic importance of each expenditure category. We work with you to identify strategic, non-critical and bottleneck areas, and to develop processes to effectively deal with each area.
 
Relationship Framework
Based on your sourcing strategy and an understanding of the critical supply areas for your business, Management Toolbox helps clients identify appropriate levels of relationship for each supplier. Your staff are then able to be clear about relationship priorities and can understand the difference between trading relationships, managed relationships and strategic partnerships.