Sourcing and Procurement Strategy
Creating executable strategies
Sourcing and procurement is in a period of radical and rapid change that’s altering the way businesses view it as a function. New strategies, skills, knowledge, and tools are emerging to address today’s — and tomorrow’s — growing challenges and opportunities.
Deloitte’s Sourcing and Procurement Strategy practice is differentiated by our executable mindset, focus, and strategy capabilities — with emphasis on executable. We excel at strategies that are deliverable, delivered through a combination of strong category experience, broad-based knowledge and skills, and geographical reach around the world. We also team with other Deloitte services, such as tax, technology consulting, human capital consulting, and enterprise risk services, to address the many facets of sourcing and procurement-related engagements.
Sourcing and Procurement Strategy services
- Direct and indirect materials sourcing – Help companies determine potential areas of savings relating to both indirect SG&A costs as well as direct cost of goods sold.
- Tech-enabled transformation – Analyze a company’s procurement operating model and offer an informed, agnostic point of view on how various technologies can enable processes and lay the groundwork for future capabilities.
- Mergers and acquisition-related services – Work with companies throughout the M&A life cycle to take advantage of integration and procurement synergies in acquisitions and to devise a separation plan in divestitures.
- Extended business relationship management – Connect buyers and sellers in innovative ways that have the potential to benefit both sides.
- Managed services – Help clients understand their options for managing higher value-added activities like strategic sourcing, supplier management, and contract management.
- Talent development – Offer executives and their teams a variety of formal training curricula including basic to advanced sourcing and procurement modules.
Potential bottom-line benefits
- Business results such as cost reduction around SG&A and cost of goods sold.
- Regulatory compliance with various laws and regulations, including the Foreign Corrupt Practices Act, in the U.S. and other jurisdictions.
- Enhanced efficiency and effectiveness of people, processes, and technologies through transformation of the procurement process.
- A total-cost point of view through strategies that help clients evaluate the long-term sustainability aspects of a purchase in addition to the short-term price-related benefit.
- Innovative use of technology to streamline sourcing and procurement processes while improving management and control capabilities.
Increasingly, sourcing and procurement organizations will become arbiters of risk, reward, and creativity, and they can exert greater influence at the nexus of finance, operations, and supply chain.
Procurement: at a digital tipping point?
Procurement: Time to move through the gears?