The Course Content
Day One: Continuous Improvement in Cost and Productivity
How do other functions view purchasing
A Purchasing Savings Model
Total Cost of Ownership Models
Cost Reduction Initiatives
Establishing a Strategic Focus with Pareto Analysis on Cost
Modern Methods of Analyzing the Spend
Day Two: Defining Cost Reduction Opportunities
Developing Company Purchase Price Index and Comparing to External Indexes
Understanding of Supply Marketplace and how Suppliers Price
Benchmarking best practices in Cost Reduction
Resisting Price Increases
Supplier Performance Measurement
Cost Saving Methods
Day Three: Methods of Price Evaluation
Price Justification
Methods of Price Analysis
The Competition that leads to price reduction and evaluation
Methods of Cost Analysis
Breaking down the Elements of Cost
Developing "Should Cost"
Day Four: Successful Negotiations
Negotiation Skill Sets
Steps in Negotiation Preparation
Methods of Persuasion
What Does Win/Win Really Mean?
Determining the Issues
Rating & Valuing Issues
Day Five: Determining Strengths and Weaknesses
Know Your Better Alternatives to Negotiated Agreements (BATNA)
Analyzing The Other Side
Negotiation Objectives Diagram
Prepare the Negotiation Team
Tips for the Actual Negotiation
Participants will negotiate model cases & discuss the results to provide an opportunity for hands on experience