Commodity Management

On-Site Training Only 
 Length: 2 days  
 Number of Participants: Up to 20
 Materials: Notebooks and handouts provided

This 2-day program covers the ABCs of commodity management: its structure, the roles and responsibilities of the function, the key interfaces, and the organizational implications. The need to evaluate new suppliers and technology will be covered. The establishment of long-term contracts will be emphasized and explained. The requirements for supplier reviews will be specified and the key measures and initiatives will be highlighted.

Objectives:

As a result of attending this course, participants will be able to:

  • Describe the commodity strategy process

  • Define the steps required to develop a world-class commodity strategy

  • Adequately define the strategy so that follow-up sourcing projects can be specified

  • Show how the Commodity Management and Strategic Development processes relate to sourcing activities

Agenda:

Day One

 

8:30 am

  • Defining the Commodity
  • Establishing the Commodity Management Team

 

  • Conducting Industry Analysis

–        Competitive Forces

–        Elements of Industry Analysis

–        Evaluating Suppliers / Competitors

–        Analyzing Technology

  • Considering International Implications Understanding
    Business Needs and Expectations
  • Evaluating Commodity Cost Drivers
  • Risk Analysis
  • Using Benchmarking

5:00 pm

Adjourn

Day Two

 

8:30 am

  • Commodity Segmentation and Sizing
  • Understanding Buying Strategies and Issues Regarding Commodities

 

  • Establishing Goals
  • Commodity Sourcing Projects
  • Implementation Plan
  • Action Items to Complete Commodity Strategy

5:00 pm

Adjourn

 

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