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Strategic Objectives Cost Savings: Achieve cost reduction targets through effective suppliernegotiations and strategic sourcing. Supplier Relationship Management: Build and maintain strong supplier partnerships to ensure long-term business value. Savings can be cashable or non cashable i.e. cost avoidance.
Our colleagues tend to accept the business demand for granted and not try to understand or, God forbid, challenge it. When discussing value generation , we mainly mention categorymanagement, stakeholder relationships, and supplier innovation. The lion's share of procurement value could be created in the planning stage.
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