Today we are mainly going to talk about price formulas and about the so-called “Triggers.”
There is no exact rule on whether or not to use a price formula, and although the time spent during the initial trade is lengthy, the benefits of having a formula outweigh it. Generally, a price formula is used when a large part of the material’s production cost is linked to a commodity (world consumer goods or traded on stock exchanges worldwide).
Attention! We will not discuss the sales...
Benefits of its use and the pitfalls of the trigger
Hello buyers, today we are going to talk about the main purchasing indicators.
We always hear something about Cost Saving and Cost Avoidance (definitely the two main indicators of purchasing performance). But there are other indicators that we want you to know, and clarify if they are still unclear to you.
It is common to hear about KPIs, but what are these KPIs? KPI stands for Key Performance Indicator. I will list examples of indicators here, which may or may not be used all the time. The...
What is it and its importance in Purchasing
You've probably seen that famous tightrope walker scene of trying to balance several little plates spinning in the air at the same time, right? Well, that's what day-to-day of Procurement is all about.
Internal customers requesting new materials, suppliers asking for price adjustments, potential new suppliers wanting to schedule presentation meetings, pressure from the board for the cost of purchased items to be reduced, presentations, projects and many others are the plates that we Buyers...