#5 Is Your procurement strategy using the right levers-Let’s find out!

“Commodity Positioning Matrix,” a tool for purchasing managers that helps them determine the best strategies for different types of commodities. The matrix classifies commodities based on their business impact and market complexity, and then identifies appropriate strategic levers. “Utilization” levers focus on reducing costs through scale-up, price optimization and global sourcing. “Collaboration” levers, on the other hand, promote building strong supplier relationships and innovation through joint process improvement, modifying product specifications and restructuring relationships.