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ARTICLES | Tag: functional borders

Why do internal clients think poorly of procurement?

July 02 2019 By Andre Basson buying department, buying improvement, buying reporting, CFO, competitive pricing, COO, co-operation, cost breakdown, cost control, cost management, CPO, fit-for-purpose, functional borders , market knowledge , maximising profit, minimising total cost, negotiations, price control, procurement, procurement advice

The most common reaction I get when introducing myself (and explaining my background) to someone senior involved in an organisation's operations, is that they find it a problem that procurement is only concerned with prices.  Thirty years ago I would have expected this reaction to have been common.  But that it is still so today is alarming. Why ...

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Where should procurement report?

June 16 2019 By Andre Basson buying improvement, buying reporting, CFO, COO, co-operation, cost control, cost management, CPO, delegation, fit-for-purpose, functional borders , inventory management , maximising profit, minimising total cost, procurement, procurement advice

Should this question be put to senior procurement practitioners the three most common answers may very well be: CFO, COO and CEO.  The general perception is that procurement probably reports to the CFO more than to any other position, even though that is probably not so for larger organisations1.  But is this the optimal place to be? One should s...

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