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Andrea Cordell - The Category Management Handbook

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Andrea Cordell The Category Management Handbook

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The Category Management Handbook Category management is one of the biggest - photo 1
The Category Management Handbook

Category management is one of the biggest contributors of commercial value in the area of procurement and supply chain. With a proven track record of successful delivery since the early 1990s, it helps organisations gather and analyse key data about their procurement spend before subsequently creating and delivering value-adding strategies that change the value proposition from supply chains. The aim of category management is to find long-term breakthrough strategies that help lift an organisations commercial performance to a new level. Because of its strategic long-term orientation and complex execution, category management has long been the preserve of commercial consulting companies in effect a black box toolkit shrouded in expensive methodologies.

This practical handbook lifts the lid on category management by providing readers with a step-by-step process and established toolkit that allows them a do-it-yourself approach. Each activity is presented as a simple tool or technique for practitioners to apply to their own organisations. To support each activity, easy-to-use templates and checklists have been provided, together with simple but practical hints and tips for implementation.

This handbook is a must read for all procurement and supply-chain managers looking to find significant improvements in their organisations. Its practical approach cuts through long-winded consultant-speak and provides an easy-to-use practical toolkit for everyday application.

Andrea Cordell is a well-known international speaker and author on strategy, negotiation and procurement-related matters. She has worked in senior positions at several global organisations and is currently the managing director of Cordie Ltd, a leading sales and procurement training and consulting company.

Ian Thompson is a leading authority on category management, having worked in a number of senior positions at global organisations and consulting companies. He is currently one of the founding directors of Cordie Ltd, a leading sales and procurement training and consulting company.

The Category Management Handbook
Andrea Cordell and Ian Thompson

First published 2018 by Routledge 2 Park Square Milton Park Abingdon Oxon - photo 2

First published 2018
by Routledge
2 Park Square, Milton Park, Abingdon, Oxon OX14 4RN

and by Routledge
711 Third Avenue, New York, NY 10017

Routledge is an imprint of the Taylor & Francis Group, an informa business

2018 Andrea Cordell and Ian Thompson

The right of Andrea Cordell and Ian Thompson to be identified as authors of this work has been asserted by them in accordance with sections 77 and 78 of the Copyright, Designs and Patents Act 1988.

All rights reserved. The purchase of this copyright material confers the right on the purchasing institution to photocopy pages which bear the photocopy icon and copyright line at the bottom of the page. No other parts of this book may be reprinted or reproduced or utilised in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers.

Trademark notice: Product or corporate names may be trademarks or registered trademarks, and are used only for identification and explanation without intent to infringe.

British Library Cataloguing-in-Publication Data
A catalog record for this book is available from the British Library

Library of Congress Cataloguing-in-Publication Data
Names: Cordell, Andrea, 1965- author. | Thompson, Ian, 1967 author.
Title: The category management handbook / Andrea Cordell and Ian Thompson.
Description: 1 Edition. | New York : Routledge, 2018. | Includes bibliographical references and index.
Identifiers: LCCN 2017053080 (print) | LCCN 2018009983 (ebook) |
ISBN 9781351239585 (eBook) | ISBN 9780815375531 (hardback : alk. paper) |
ISBN 9780815375517 (pbk. : alk. paper)
Subjects: LCSH: Purchasing. | Business logistics. | Project management.
Classification: LCC HF5437 (ebook) | LCC HF5437 .C67 2018 (print) |
DDC 658.7/2dc23
LC record available at https://lccn.loc.gov/2017053080

ISBN: 978-0-8153-7553-1 (hbk)
ISBN: 978-0-8153-7551-7 (pbk)
ISBN: 978-1-351-23958-5 (ebk)

Typeset in Bembo
by Apex CoVantage, LLC

Contents

Stage 1
Initiation

Stage 2
Research

Stage 3
Analysis

Stage 4
Strategy

Stage 5
Implementation

We would like to thank our corporate clients, colleagues and friends who have worked with us over recent years, tirelessly striving for improved business value through category management. You have been the inspiration for this handbook.

We would also like to acknowledge the students at our five Cordie study centres who have studied both the good (and the bad) aspects of category management as part of their ongoing professional development. This handbook is for you.

Our final words of gratitude go to Samantha Wheeler and Ruth Paskins for their patience in assisting us with this labour of love and to Al OReilly, Tracey Webster and the rest of the Cordie team for their enduring support with our training services.

Andrea Cordell

Andrea is the managing director of Cordie Ltd, a leading sales, procurement and supply-chain training organisation. While she is well known for her enthusiastic and interactive public speaking style, her specialist subject is the human dynamics and hypnotic language surrounding commercial relationships and, in particular, subliminal linguistics.

Andrea has an MBA from Henley Business School and is an NLP Master, as well as a licenced MBTI Assessor and a registered EQ Tester. She is a fellow of both the Institute of Sales Management and CIPS.

Ian Thompson

Ian is one of the directors and cofounders of Cordie Ltd, as well as a fellow of both the Institute of Leadership and Management and CIPS. He currently leads commercial training programmes on a worldwide basis, where his specialist subjects include category management, strategic sourcing and public procurement regulation.

Prior to establishing Cordie, Ian led sourcing teams in several large blue-chip organisations and before that worked as a chartered engineer on major infrastructure projects.

Ian has written three procurement textbooks and has an MBA from the University of Birmingham. He has set up five successful CIPS study centres and helped Cordie twice win the United Kingdoms national training awards for outstanding training delivery.

Other books by Andrea and Ian include:

  • The Procurement Models Handbook
  • The Negotiation Handbook
  • Emotional Intelligence and Negotiation

For the last two decades we have witnessed countless consulting practices and their client organisations promote the benefits of implementing category management. As a process it has been heralded as the procurement panacea that delivers huge efficiency savings and business-wide benefits. Its the one methodology that truly operates cross-functionally and works systematically through a strategic process to deliver exceptional outcomes.

Ironically, there is very little published material about category management and what has been published remains shrouded in consultant-speak. As a result, organisations are left either to fend for themselves (and there are some really suboptimal examples of category management out there) or to employ expensive consultants to deliver fancy overengineered toolkits that never really get implemented.

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