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Category Management

Course summary
Length: 2 days
Language: English
Location: Kuala Lumpur, Singapore
Course home page: Link
Provider: BMTG (UK) Ltd plus
Course type: Open / Scheduled

Category Management

Category Management

Category Management - 1 day Training Course

Category Management is a strategic approach that organises procurement resources to focus on specific areas of spend known as categories.  A category is the logical grouping of similar expenditure items, such as spend on packaging materials, advertising agency services or IT hardware.  Category management is the cross-functional business process used to manage these categories to satisfy business needs, while at the same time maximising the value delivered from the supply base.  The results can be substantially better than those gained from traditional transactional based purchasing, and organisations that successfully implement Category Management not only enjoy lower costs but also get significantly more value from their suppliers.

This MasterClass equips delegates with the essential skills required to successfully implement category management within their own organisations, ready to reap the benefits.  Teaching is based around a Category Management model containing six key activity steps:  starting with spend analysis and category formation; moving through data collection, analysis/option generation, strategy development/approval, and strategy implementation; and ending with management and continuous improvement.

There are plenty of case studies and practical exercises for delegates to practise some of the techniques learnt.  Delegates will receive full course notes, templates and a copy of the Course Directors’ book “Building Excellence in Strategic Procurement Management”.

Suitability - Who should attend?

This highly practical and interactive course has been specifically designed for:

  • CPOs and Purchasing Directors
  • Purchasing Managers
  • Purchasing officers
  • Executive Assistants
  • Category Managers
  • Buyers
  • Finance Managers
  • Supply Chain Managers

PLUS anyone else responsible for purchasing, supply chain or finance

In addition End Users who impact or are impacted by procurement or the sourcing process will also benefit from attending this course

Outcome / Qualification etc.

By attending this interactive course you will be equipped with the skills to:

  • Understand the key fundamentals of category management for procurement
  • Become more strategic in procurement thinking
  • Deliver significant cost savings
  • Manage cost, risk and quality throughout the supply chain
  • Identify stakeholder and create effective internal relationships
  • Work cross-functionally in category-management teams
  • Analyse category spend
  • Determine the business requirements for a category
  • Use appropriate tools to look closely at requirements, markets and suppliers
  • Design and implement category sourcing strategies
  • Close effective contracts with suppliers
  • Manage suppliers well, to create further added-value for your organisation

Training Course Content

Fundamentals of Category Management

  • The core processes of category management
  • Direct and indirect purchasing
  • Category identification
  • Leadership and management of categories in today’s organisations
  • How major multinationals implement category management

Category Initiation

  • Organisation of the purchasing function to support category management
  • Stakeholder analysis
  • Formation of category team
  • Team charter and governance structures
  • How major multinationals create effective governance structures

Communication skills for category managers

  • Category communication planning
  • Communicating internally with stakeholders
  • Communicating externally with suppliers
  • Communicating across cultures
  • Role play exercises in communication skills

Situation analysis – gathering data

  • Spend analysis down to supplier level
  • Coding systems
  • Spend analysis in action
  • Business requirements
  • Market analysis
  • Supplier analysis – key suppliers in market

Data analysis and option generation

  • Analysis tools: Porter’s Five Forces, Kraljic Matrix, Portfolio Analysis, PESTLE etc.
  • Cost, price and value
  • Sourcing options from sole-supplier to e-auction
  • Identification and prioritisation of category sourcing options
  • Tools in practice

Strategy development and approval

  • Strategy development
  • Category targets – financial and non-financial
  • Savings management and category performance measurement
  • Approval of strategy
  • Category strategies for a major multinational

Strategy implementation

  • Implementation planning and management
  • Change management
  • Sourcing management and contracting
  • Development of an effective SLA (Service Level Agreement) and SMART KPIs (Key Performance Indicators)
  • KPIs that work in practice

Contract and Supplier Management (SRM)

  • Writing successful contracts
  • Managing the contract lifecycle
  • Contract management system
  • Supplier relationship management (SRM)
  • Supplier management in practice – a difficult art explained

Provider: BMTG (UK) Ltd


BMTG (UK) Ltd - Global Business Training

BMTG (UK) Ltd collaborates with an international network of partners to offer a wide range of  Business Management training courses to individuals, corporate delegates and companies worldwide. BMTG's  mission is to become the partner of choice for the delivery of...

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Contact information for BMTG (UK) Ltd


Arran House Business Centre
Arran Road
PH1 3DZ Perth

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