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Developing Category Management Strategies
Category management is a medium to long term strategic approach to managing the spend of a company. It provides a company-wide view of the spend categories in terms of the category objectives, sourcing strategies, supply market opportunities and approach, resource and team requirements, stakeholder engagement requirements, performance measurement and improvement, and so on. In summary, it is how the category will be managed on a long-term basis.
Effective category management is not only about supply strategies and cost reduction, but it’s also about understanding what the organization truly needs from its supply base to be successful. Category management sets the stage for leveraging the supply market to drive innovation in an organization’s products and services, to differentiate an organization’s products and services in the marketplace, and to gain revenue through product design and marketing.
This course explores how to segment categories based on key characteristics, and then how to develop effective category strategies based on the segmentation.
