Links to Specific Topics:
Management & Procurement Group Assessment & Revamping
Development & Implementation Processes
Policies and Procedures Manuals
Acquisition Regulatory Reviews
& Conditions Documents
& Capital Projects Procurement Planning
Evaluation, & Award Processes
Formalizing, and Administration of Contractual Agreements
Expediting, & Tracking Services
Procurement and Materials Management Services
By integrating proven “Back-to-the-Basics” processes into today’s
e-commerce business world, organizations can realize significant cost savings.
Technology sometimes outpaces the process being enhanced. In many
instances technology has minimized basic requirements in the procurement
process. While trying to analyze overall best value for the next gazillion
years, costs for the task at hand can severely escalate. We all want what is
best for the overall long-term success of the organization, but most real life
performance measures are focused on current and short-term bottom lines.
Best practices that will work well for a manufacturing or service
organization are not necessarily going to work well for engineering or
construction organization. Manufacturing and service organizations typically
buy the same construction items over and over again, whereas the majority of
engineering and construction organizations’ requirements are defined by the
specific projects being executed.
As a general rule, the “3 Bids and a Buy” method of procurement
should be considered for all requirements.
Companies are many times surprised at the results when this
process is used to verify both the competitiveness of long-term purchase
agreements that have been in place for a number of years. Establishing and
implementing a written Purchasing and Contracting Policy will provide the tools
and methods required to fairly evaluate existing procurement agreements and
practices to maximize both current and future profits.
Some of the Procurement and Materials Management Activities that
should be closely monitored include: