1. Strategically Positioning The Commodity
4 High expenditure area
4 Strategic to operations
4 Many existing alternate products/services
4 Few qualified supply sources
4 Many qualified supply sources
4 Large expenditures
4 Goods/services readily available
4 Design to quality critical
4 Commercial involvement can significantly impact price
4 Complex specifications
4 Very complex specifications
4 Many sources
4 Few alternate products available
4 Low value
4 Few qualified sources of supply
4 Small individual transactions
4 May have big impact on on-going operations or maintenance
4 "Anyone“ could buy it
4 Unspecified items for everyday use
4 The provision of the product or service involves new
technology or untested processes
LEVERAGE
STRATEGIC
ROUTINE
BOTTLENECK
Supply Market Challenge
Business Impact
Reference: PCD59-A Released: 19/06/2015