About this event
Procurement is no longer a simple matter of processing purchase orders, it’s integral to business success. If your company is not thinking strategically about procurement, then you could be missing an opportunity to improve your cost management structure. Procurement has grown in prominence much faster than many other functions as Executives the world over are recognizing that effective procurement strategies are the highroad to cost savings and competitiveness.
The first edition of this event was held successfully in 2010, with the participation of over 100 delegates representing leading Organizations in the Middle East and North Africa region.
2nd Annual Strategic Procurement & Contracting Conference MENA 2011 2011 will bring together senior level executives from leading Organizations in the Middle East, and the event is thoughtfully designed to deliver maximum value for participants, by including;
- Plenary Sessions
- Case Studies
- Networking Sessions
- Panel Discussions
- Pre-Conference & Post-Conference Master Classes
Best Practices in Strategic Procurement and Contracting
Strategic Procurement delivers the lowest total cost of materials and services, while improving service quality and typically, 1% purchasing cost reduction has the same impact on profit as a 10% increase in turnover. As globalization changes the basis of competition, strategic procurement is moving from the periphery of corporate functions to the core.
The pressure for Middle East organizations to transform from tactical buying to strategic procurement is enormous given the impacts of the economic downturn, but most procurement departments still lack skilled resources, processes and systems needed to cope successfully with this change.
Middle East companies have historically been very focused on the short term, at the moment, strategic procurement is integrated in business processes in fewer than one in four companies.
Key Topics Covered
Recognition of role of strategic Procurement in an organisation – The biggest contributing factors responsible for an organisation not embracing strategic procurement through corporate and operational objectives remains a general lack of knowledge & awareness of strategic procurement’s role. This has stemmed from the historical ‘low profile’ of the procurement profession and lack of promotion of the tangible benefits associated with the practice. At its worst this has procurement departments being thoroughly undervalued and patronized.
Procurement’s Organizational relationships - Recent research revealed that just 30 per cent of CEOs believed procurement was adequately networked with other departments, while the CPO sat on the board or executive management team in just one in 10 companies.
Developing Procurement strategy to deliver Vision and Objectives - driving a high level procurement strategy in line with the organisations’ overall strategic direction, focusing on structure of the business and implementation of a new procurement model. For example, by working more strategically with Finance, Procurement can make better business decisions that will benefit the organization as a whole.
eSourcing Technology provides procurement optimisation – maximizing value and efficiencies with procurement enabling (spend management) technology to plan, forecast & measure results. Organisations that can achieve visibility, transparency and efficiency throughout the entire procurement cycle through embracing technology will be best equipped to deliver procurement strategies and emerge from the current economic downturn in the best health.
Outsourcing Strategic Procurement - With the increased focus on cost and compliance, the purchasing function needs to be elevated to a strategic component of value creation and a rich source of competitive advantage. To achieve this, instead of creating a strategic procurement capability in-house, many companies have outsourced it.
Corporate Social Responsibility and Socially Responsible Procurement - This is becoming increasingly important for a whole host of reasons, from minimizing HSE risks to effective corporate social-economical governance.
Strategic Contracts Management - The importance of solid contracts management practices and in support of Oraganization's Strategic Initiatives.
Procurement Negotiations - Advanced techniques for Negotiations and aligning Negotiation Behavior With Established Supplier Relationships.
Procurement Risk Management - Procurement needs to address risk management head on, incorporating it within corporate strategies, integrating it within the business and defining its importance across the organisation.
Supplier Partnership Development - Strategic procurement is the development of a true partnership between a company and a supplier of strategic value. The arrangement is usually long-term single-source in nature and addresses not only the buying of parts, products, or services, but product design and supplier capacity.