Tweet We finalize the consideration of the different sourcing strategies which are based on features of supply and demand power according to A.T.Kearney approaches in this article. And today we will analyze the fourth strategy. Where there is both high supply power and high demand power, the basic strategy aims at searching jointly with the supplier for advantages. The different variants of this basic strategy depend on the scope and intensity of the partnership. The scope can range from coordinated demand and capacity planning to complete intermeshing of the value chain. Meanwhile, the intensity can range from project based sharing of costs to the sharing of financial success and risk.
Tweet Dear procurement professionals, today we will consider the third sourcing strategy in situation where high demand power exists. So the third basic strategy is to leverage competition among suppliers to the advantage of the company. Variations of this strategy are further fueling competition through appropriate measures on the supplier market, or influencing supplier pricing through analytical tools.