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Procurement Assessment Offers Opportunity for Cost, Value Improvements By Chris Windfelder

February 4, 2014

All companies buy services and goods to achieve their business objectives. Conducting a procurement assessment gives an organization the tools necessary to reduce costs and foster value. The process enables companies to prevent overspending of assets and use the funds for more profitable purposes.

While procurement assessment includes audits of costs for materials and products, it also examines practices and procedures to isolate inefficiencies that increase costs. The process uncovers such issues as the purchase of excessive or unnecessary products, goods ordered at too high a cost, undelivered products, and materials received in unacceptable condition. Companies often correct procurement deficiencies by effecting new rules that mandate competitive bids or quotes for contracts, enhanced oversight, and coordinated purchasing strategies. A focus on best value over best price ensures that dealings with low-cost—but unreliable—vendors do not interrupt business momentum.

About Chris Windfelder: With considerable experience in business processes, Chris Windfelder conducts audits of corporate practices and costs. In his capacity as a Director of A.T. Kearney, Inc., he specializes in the development of strategies that facilitate improved productivity and profitability. Chris Windfelder manages projects for clients in such industries as health care, consumer goods, and pharmaceuticals.

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From → Chris Windfelder

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