Show me the money!
13 September 2012
Whether they like it or not, purchasers’ effectiveness is judged by the cost savings they make. But measuring those and proving their validity to senior management has long been an uphill struggle. Geraint John looks for signs of progress
Question: when is a cost saving not a cost saving? Answer: when the purchasing department claims to have made it. It’s a cynical view, but one that is widely shared in many organisations. And for a profession whose credibility depends on its ability to deliver sustained cost reduction, this perception is both hugely damaging and a brake on its ambitions.
“Unless...