The Assessment of Excellence in Procurement™ Benchmarking evaluates companies across several key dimensions and provides insights on how to improve procurement best practices and capabilities through:
- Alignment of corporate and procurement strategies
- Procurement organization structure and agenda for addressing near-term and long-term goals
- Methodologies and tools for achieving efficiency and effectiveness in critical procurement processes
- Infrastructure required to support the strategic and tactical activities of the procurement organization
From strategic sourcing
to procurement analytics
, A.T. Kearney Procurement & Analytic Solutions has set the standard for best in class supply chain management solutions
. Our strategies are based on proven methodologies from decades of experience. Our A.T. Kearney Assessment of Excellence in Procurement™ survey (AEP) is the leading benchmarking survey, conducted since 1992 providing quantitative data on practical leadership practices and emerging trends in supply management.
For a major North American utility, we conducted an Assessment of Excellence in Procurement™ Benchmarking study which was then used to develop a supply management transformation to strategy to address key CEO concerns including:
- Unprecedented anticipated employee attrition over the next 5 years (>1/3 of supply management employees)
- A "bet the company" 5-year capital expenditure program with planned spend well in excess of annual revenues
Supply management was examined in a broad business context including “Voice of the Customer” analysis to identify urgent business requirements. Current supply management capabilities and practices were assessed against qualitative and quantitative benchmarks. Gaps and improvement opportunities were identified with respect to work practices, organization/governance and supporting technology.
In the end, stronger organizational structure and governance provided much greater alignment with business and supply management strategies, streamlined organizational structure, improved strategic planning and budgeting practices and a technology implementation plan to drive improved spend visibility, reduced transaction costs/resources and a greater emphasis on strategic category management functions.