Posts tagged supply chain
What is a Category Management Dashboard

A Category Management Dashboard, is a data-driven management information process, that supports Category Management and provides real time sourcing information on the number suppliers, spend in period, type of spend and spend purchasing patterns. Dashboards that inform the category manager by monitoring spend, assessing performance and taking corrective sourcing actions to deliver business commitments.

Category Management Dashboards, provide real time information, help shape policy and strategy, provide progress on strategic and tactical sourcing decisions. At its core category management is the management of spend groups aligned by supplier, types of goods and services, the aim of the category manager is to put in place sourcing contracts and policies that provide the company with vetted, approved or preferred supplier lists.

Category Management Dashboards, provide a 360 view for that category, normally focused in two areas, preferred suppliers with agreed contracts in place and the review of maverick or long tail supplier information. To create a functional Category Dashboard for procurement, the following spend analysis process is used.

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What is Procurement Spend Analysis?

Spend analysis is the process of gathering, cleansing, aggregating, categorising, and transforming company spend data, that provide procurement, with the insights that drive value, innovation, efficiency, effective sourcing with risk mitigation. Analysis that gives procurement the foundation and data support, to make faster, better, informed decisions, that are aligned with the company & procurement objectives.

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Chart of Accounts : Spend Analysis

Chart of Accounts is normally held by the finance team, in the form of an indexed document or guide. Chart of accounts provide a list of General Ledger codes that form the basis of all the transactions taken within the company, for spend analysis, accounts payable information is used.

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What is Spend Analysis ABC?

Supplier ABC Analysis or Spend Analysis ABC is the foundation or cornerstone in the development of an effective business and sourcing strategy, providing procurement insights and actions that deliver a powerful and competitive sourcing strategy.

Long end tail spend is the process of reviewing the spend that makes up 20% of the total spend and using automated spend analytics software ABC can be performed at source.

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Spend Analytics Dashboard?

Spend Analytics Dashboards are data visualization tools that display the current status of the company spend metrics and key performance indicators (KPIs). Spend Analytics Dashboards are the most efficient way to track multiple data sources, a spend analysis dashboards are a management information tool that visually tracks, analyses, and displays key performance indicator metrics.

On the surface, the dashboard is a collection of charts, graphs, and tables that provide a 360 view of procurement spend, behind the scenes, a full assessment of each data source is conducted, to aid in the creation of supplier spend analysis, opportunity assessment, and sourcing cost savings.

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How to Conduct Data Preparation Spend Analysis? 8 Step framework

A solid foundation is critical to the success of creating a data-driven spend analysis culture. Data preparation spend analysis, involves extracting, transforming, organizing, verifying, essential data required to build procurement spend analytics reporting.

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