Factors to Analyse a Purchasing Portfolio Beyond those in the Kraljic Model

Kraljic Model
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Gaurav Pala
Manager, India

Factors to Analyse a Purchasing Portfolio Beyond those in the Kraljic Model

Dear all, as written in the summary of the Kraljic Model, if we need to analyze our purchasing portfolio, we can use this model to help us consider 2 interrelated factors which are crucial in drafting a purchasing strategy:
- Profit Impact
- Supply Risk
But what other factors can be relevant to analyze our purchasing portfolio and come up with purchasing strategies?

  Julius Muriuki
Consultant, Kenya

Additional Factors or Dimensions in Purchasing Beyond Kraljic Portfolio Model

3 more dimensions could be:
- Supplier Relationships Management (SRM)
- Corporate Social Responsibility (CSR)
- Outsourcing or subcontracting.

  Jose Blauw
Manager, Netherlands

Additional Procurement Factors Beyond Kraljic

Consider the QLTC methodology, also known as value sourcing, developed in the hi-tech industry (ASML). This system measures and classifies your suppliers on max. 50 indicators with the intention to improve the cooperation between your company and the supplier to develop both to world class organizations.
QLTC stands for Quality, Lead time, Technology and Costs. Not all indicators need to be implemented. For more info, see these downloads on value sourcing.

  Koen Vandermarliere
Business Consultant, Belgium

Additional Purchasing Factors Beyond Kraljic

I usually do a Porter analysis on the commodity, vendor and product level. This means that I review 5 area's that impact...


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