Chapter 4
Strategic Sourcing Methodology

This chapter provides you with an overview of two methods for deciding on a sourcing strategy.

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In this chapter, you will learn about:

  • Porter’s Five Forces analysis
  • A.T. Kearney’s Purchasing ChessboardĀ®

We will try to help you find answers to the following questions:

How do I utilize Porter’s Five Forces method? How can I find our real competition level? How do I identify our current spend strategy and what should be our target strategy?