Inside Procurement: Organisation Models Part 2

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In the first part of this two-part episode, we talked about Organisational Models and why it is such an important consideration for organisations. We discussed the most commonly considered models – Centralised and Decentralised – and in this part, we continue the conversation to cover the third model - the centre-led model, which provides the benefits of both centralised and decentralised models, and is based on the following philosophy:

  1. Maintain central consistency
  2. Manage spend
  3. Distribute spend
  4. Enable decision making
However, regardless of which model a business picks, there are five key characteristics of the operating models that they must consider:

  1. Focus on overall goals
  2. Understand the internal customer
  3. Define the best owner
  4. Process, tools and technology
  5. Deploy the right talent

Watch the video for more insights.

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Omer Abdullah

Omer Abdullah

Omer Abdullah is Co-Founder and Managing Director of The Smart Cube, a global provider of procurement intelligence and analytics, including category excellence, commodity volatility management, supply chain analytics and supplier engagement strategies across sectors including Life Sciences, CPG and Industrials. Omer leads the company's business across The Americas.

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