Effective Purchasing, Negotiation and Cost Reduction Strategies

Effective Purchasing, Negotiation and Cost Reduction Strategies

Introduction:

This course is proudly introduced to you by the International Academy of Human Resource Development(IAHRD). Our courses are customized to match your needs in which they are designed by experts who has a long practical experience in the field.

Continuous improvement in cost and productivity is extremely important for the organization. The application of cost reduction initiatives is considered a competitive advantage to the organization. This course will help you become excellent in achieving such activities efficiently.

Objectives: 

By the end of the training program, each participant will be able to:

1. Conduct effective negotiations and win them wisely.
2. Implement  cost reduction strategies.
3. Understand the need of flexibility and adapting to change.

1. Establish a strategic focus with the ABC analysis.

Contents: 

Module 1:

1. Adaptation to change and flexibility.
2. The link between other functions and purchasing.
3. The model of purchasing.
4. Innovative cost reduction initiatives.
5. Reporting procedure of efficient cost saving.
6. ABC analysis.
7. Expenses analysis.

Module 2: 

1. Company Purchase Price Index.
2. Supply marketplace.
3.  How suppliers price?
4. The importance of benchmarking.
5. Elimination of  low value activities.
6. Price increase resistance.
7. Evaluation of your suppliers performance.

Module 3: 

1. Competition in the marketplace.
2. Historical prices and current prices.
3. Fair profit objectives.
4. What are the elements of cost?
5. What are our responsibilities as agents? 

Module 4: 

1. Effective negotiation skills.
2. The art of persuasion.
3. Payment terms.
4. Spare parts and warranties.

1. Negotiation model cases.
2. Discussion of the results.

Who should attend? 

1. Contracts, Purchasing, and Procurement Personnel.
2. Engineering, Operational, Project, and Maintenance Personnel.

1. Personnel Involved In The Planning, Evaluation, Preparation.
2. Managers Of Purchasing, Tenders, And Contracts That Cover The Acquisition Of Materials, Equipment, and Services.
3. Leaders Who Want High Levels Of Competency In Those Involved In These Activities.