I recently ran a Poll concerning what re the most important of the three “C” s of Procurement.
For those who are unaware or have forgotten, this simple post highlights what they are all about.
Within the Procurement “Three C’s” refer to Cost, Control, and Consolidation, providing a framework for managing expenses, overseeing the procurement process, and optimizing supplier relationships to achieve savings and efficiency.
- Cost:
The reduction of total expenses through strategic sourcing, negotiation, and cost-saving initiatives.
Involves establishing systems for quality standards, compliance, and risk mitigation throughout the procurement cycle.
Entails streamlining the supplier base to negotiate better terms, improve efficiency, and lower administrative overhead.
The “Three C’s” may also refer to supplier risk management, highlighting Competency, Commitment, and span of Control which from the supplier’s perspective are three keystones for effective supply contract framework management.
This alternative set of “C’s” emphasizes aspects of supplier management, particularly in the context of risk:
Evaluating a supplier’s capabilities, such as their expertise, innovation, and quality standards.
Assessing a supplier’s dedication to building collaborative partnerships and aligning with an organization’s strategic objectives.
Implementing oversight over a supplier’s performance, product quality, and adherence to compliance standards.
Karl Furrutter and his business Practice is a Strategic and Tactical Procurement and Liquidity (recovery of invested capital in idle or unwanted assets) specialist focused on providing tailored client solutions on a fixed term basis for various strategically important reasons. Connect or follow me on LinkedIn or visit my website www.furrutterandassociates.co.za should you wish to engage professionally with me.