Building an Effective Procurement Organization Best Practices for World-Class Performance

Effective procurement management is essential for any organization looking to reduce costs, improve quality, and increase profitability. Building a truly effective procurement organization is a challenging multilayered effort that requires establishing a solid base for the deployment of best-practice solutions and ensuring long-term benefits from sustainable procurement operations.

Building an Effective Procurement Organization presents essential steps for advancing procurement practices to a world-class level, describing the fundamentals of procurement management and how to build a solid foundation for success. Povoroznyk emphasizes the importance of mastering the basics before diving into more complex procurement concepts. With clear explanations and practical examples, this invaluable resource is for anyone looking to develop their procurement management skills and enhance their organizations’ purchasing power. For entrepreneurs and suppliers, this book will become a source of insider information about the structure of the procurement service of their corporate clients and the tasks that owners and managers of companies set for buyers.

Iryna Povoroznyk is an expert in strategic organizational transformation, operations management, digital platforms, ERP implementation, change management, and strategic sourcing and procurement. For the past 15 years, Iryna has managed the procurement of one of the largest companies in the metals and mining and energy sectors. She has a proven track record of building highly motivated teams and implementing successful large-scale transformation projects that are considered a best-practice benchmark by industry peers.

Foreword Acknowledgments Chapter 1: Procurement Spend: How Much Is Not a Lot? Chapter 2: Benchmarking: A Procurement Health Check Chapter 3: Action Plan: Strategy and Tactics Chapter 4: Category Strategies: A Magic Pill or A Recipe? Chapter 5: Procurement Savings: Everything You Did Not Spend Chapter 6: Procurement Organization Models: Centralize or Not? Chapter 7: Operational Efficiency: Processes Within Processes Chapter 8: Procurement Risks: Identify and Mitigate Chapter 9: Procurement Policy: Your Rules to Play Chapter 10: Digitalization Can't Wait Any Longer Chapter 11: The Procurement Team: Who Are All These People? Chapter 12: Procurement of the Future: Dreams and Reality Chapter 13: What’ s Next: Turning Theory into Practice Appendix: List of Recommended Resources and Literature