Day: March 12, 2022

Movement in demand curve Changes in composition of population Changing tastes and preferences Changes in prices of related goods(substitutes and complements) Expectation of future change in prices Change in income Movement in supply curve Prices of other goods. Number of Read More …

Market dynamics are pricing signals that are created as a result of changing supply and demand levels in a given market. Market dynamics describes the dynamic, or changing, price signals that result from the continual changes in both supply and Read More …

An Opportunity Analysis is an initiative that attempts to identify ways to capture value through sourcing. These opportunities are identified after analysing organisational requirements, supplier spend, current sourcing processes and other data sources. An Opportunity Analysis initiative can differ in Read More …

Kraljic matrix Seller‟s Perception Matrix The Seller‘s Perception Matrix, sometimes known as Supplier Preferencing, allows the buyer to gain an appreciation of the supplier‘s perception of the organisation as a customer in their overall market. It complements Portfolio Analysis and Read More …

The evolution of the “cost research” function at Honda of America illustrates this concept. Initially, Honda employed a group of 20 to 25 experts in a central purchasing function who worked cooperatively with suppliers to develop sophisticated cost models. Over Read More …

Strategic sourcing goes beyond negotiating for better prices with suppliers. This approach takes into consideration the entire cost of ownership. This includes those creating the demand for the goods and services, the internal processes, specifications, as well as, operational practices. Read More …