Organizations are losing real value by making individual tactical purchases for a particular product or service without considering who else might be buying something similar.
Our experience and research points to real deficiencies in category planning.
Instead of focusing on the individual purchase or even a supplier, the buyers can now engage with the market for the totality of their requirements.
This category approach represents an entirely different type of market engagement where the buyer employs scale and leverage across multiple buyers and timescales. Also, the market is typically designed to provide goods or services at the category level where products or services can be grouped.
It is vital to understand patterns or trends of spend and usage, requirements – current and future, pricing rates and models, market conditions, cost models. Failing to do this will diminish any overall category strategy to effectively engage with key stakeholders, each supplier, and the market at large.

Category Planning Services

Category Planning Engage with the category manager and team to build a category plan using our structured planning methodology

Category Planning

Effective category management begins with category planning – a structured approach to define a plan. Critical thinking is core to shaping the strategy.
Procure.ps uses a multi-step process to initially define the scope of the category while determining the underlying issues and the objectives for the category as they relate to the business. This allows the buyers to form an initial view, or proposition, on the category which guides the data collection.
The engagement of stakeholders through this process is vital as the business forms a view on a baseline of spend, usage, pricing, as well as the condition of the supply market. Determining a forecast for the category and rigorously challenging business requirements are also essential ingredients.
It is critical to take the thinking beyond price into the territory of total cost – consider the internal and external costs over the life of the category. The strategies can be complex, many and varied and often times go well beyond the typical tender or leveraging approach.
At Procure.ps, we believe the category plan must be endorsed by and have the support of the key stakeholders.