Kotler Introduces New Program for Purchasing & Sourcing Professionals
Washington DC - The Kotler Group announced the launch of a comprehensive,
first-of-its kind package of sourcing tools and training, designed specifically
to enable purchasing and sourcing professionals in the automotive, commercial
and heavy duty industries to quantify the full economic impact of sourcing
Increasingly, progressive purchasing organizations are looking to award
business based not necessarily on low costs and low price, but on the basis of
real value. “Many of the leading OEMs have announced plans to take a more fair
and balanced approach with suppliers. They want to better understand the ways
in which suppliers can add value to the vehicle design and manufacturing
process.” says Steve Rose, Practice Lead at Kotler.
In order to determine how much value a given supplier can bring, purchasing
and sourcing professionals need to be skilled at identifying the total cost of
a transaction; not just the landed costs. For example, slight differences in
the quality of a sourced component can often have a profound impact on
homologation and manufacturing costs, as well as the value of the finished
part. In other cases, suppliers may offer a host of services, such as design
and engineering support, the value of which is often not well understood.
“Whether you are responsible for purchasing raw materials, components or
advanced technologies, the objective should be to identify suppliers that will
be able to help your organization to reduce its manufacturing and production
costs or increase revenues and profit on sales,” says Rose.
The new training program, Driving Value™, builds upon Kotler’s
years of experience working with procurement and sourcing organizations
at OEMs and Tier I component manufacturers to broaden their
of supplier proposals, bids and capabilities.
The Driving Value program teaches procurement and sourcing professionals
how to go beyond the piece price or “landed” costs and:
- Understand the total cost of a sourcing decision
- Understand how sourcing decisions can affect revenues
and market share
- Identifying opportunities to expand and broaden the
current purchasing “scorecard”
- Critically assess and validate supplier’s benefit claims
Purchasing executives familiar with Kotler’s
programs say the training offers value for both suppliers and
purchasing teams. “The
approach creates value for the OEMs. It promotes win/win,
fact-based negotiations,” says Ralf Hunerfeld, Executive Director of
Purchasing, HVAC, GM.
For more information about the Driving Value™, as well as program dates and registration, click here.
About Kotler: The firm is a global consulting and training
firm, specializing in helping companies document and identify value. Our
mission is to help clients achieve profitable growth. Over 650 OEMs and
suppliers in the automotive and commercial vehicles industry have attended
Kotler’s programs and benefited from our training, tools and industry research.
For more information, visit: www.kotlermarketing.com