The HOW and the WHAT make the difference for Procurement 4.0
New technologies and sustainable competitive differentiation require an increasing amount of innovation from outside sources such as suppliers. Societal changes in purchasing behavior also require a reconsideration of what’s needed for procurement. But it’s digitalization that’s the real change driver and it’s forcing companies to apply a new type of strategic thinking.
It’s this type of change management that’s one of the biggest strengths of h&z management consulting. We have a wealth of consulting experience in harnessing the power of digitalization to the point where we’ve developed our own methods for procurement in addition to the classical analysis tools. Using our ‘Bull’s Eye,’ for example, we can quickly identify optimization potentials within commodity groups and derive concrete implementation measures. Our plans always combine well-founded basics and pragmatic implementation steps. Then we train and support your employees to enable them to implement the new plan. Only then will the effect become apparent, and only then are we satisfied as well.
How will increased global networking affect procurement? In order to identify the challenges and opportunities that are inherent in this question, we developed the Procurement 4.0 approach. This covers four defined dimensions that we’ve labeled Network Competition, Network Co-Creation, Network Enablers and Network Leadership, and we use them to reveal how procurement must be set up so it’s fit for long-term use.
How will procurement react to economic, geopolitical and technological changes? With regular trend analyses, international studies and participation in think tanks, we regularly and precisely determine the main parameters to establish well-founded, predictive and sustainable strategies for procurement.
We support companies in optimally adapting their procurement, with all its deep-seated complexity, to internal and external environments. The success of an international or global procurement network depends on the principle alignment of the procurement organization as well as on the selection of the right bundling models. Interfaces, roles and responsibilities must then be defined and illustrated in a comprehensible manner.
Material Cost Optimization
How can all the optimization potentials of a commodity group really be identified?
To find the solution, we use the 360 + 80 +10 formula. With the ‘Bull’s Eye,’ we’ve developed a 360-degree method that uses a structured approach to identify all suitable levers and to derive concrete implementation measures. Approximately 80 criteria are described and supported with practical examples. And then 10 core questions are used to target and select the relevant measures before illustrating them on a heat map.
Commodity Groups and Supplier Management
Successful procurement organizations benefit from a clearly defined process for analysis, measure development, commodity group/supplier/strategy derivation, and implementation. Commodity group management and supplier management are not merely token exercises for procurement, but are part of a cross-functional process right from the start that makes the strategy tangible for everyone involved. The so-called ‘gearwheel effect’ applies here and will create an additional advantage.
Technical Training and Method Training
We use tailor-made technical and method training courses to impart knowledge and skills, paired with suitable soft skills development. This helps employees to gain a better understanding of new concepts and motivates them when it comes to implementing the new concepts. Our trainers are convincing thanks to their holistic competence management and engaging didactic approach.