Category Management in Purchasing: A Strategic Approach to Maximize Business Profitability

Category management is a technique used to understand markets, analyze spending and make purchasing decisions that save money. It provides a way to move from accepting mediocre goods and services at high cost to managing supply in a way that delivers real value. By altering how goods are categorized and supplied, category management helps shift sourcing from an error-prone transaction to a value-creating endeavor.

Aided by case studies and practical examples, this book provides a clear definition and understanding of category management. Jonathan O'Brien presents a step-by-step process for implementing category management in line with a company’s overall business strategy. Using this process, readers will be able to analyze complex sourcing situations and develop innovative and creative sourcing proposals.

Case studies focus on transnational organizations (GlaxoSmithKline), many of them US-based (Haynes, Sara Lee).